Alweendo explains change of mining commissioner

Mines and energy minister Tom Alweendo says "there was just too much going on" with former mining commissioner Erasmus Shivolo, whose 14-year reign came crashing down on Friday.

Days after damning allegations surfaced that Chinese lithium miner Xinfeng Investments paid mining ministry officials bribes in order to push out Karlowa Mining Enterprise from a lucrative mining deposit in Uis, Alweendo moved to remove Shivolo from his job.

The minister replaced him with Isabella Kandjii-Chirchir, a former deputy director for mining in the ministry.

Two weeks ago, Alweendo was forced to defend himself on social media after a widely-circulated message alleged that the minister, his technical advisor, Ralph Muyamba, and Shivolo accepted bribes to allegedly block the renewal of the exclusive prospecting licence (EPL) of Karlowa Mining Enterprises.

No choice but to act

Muyamba resigned from the ministry in the wake of the allegation amid a looming internal investigation.

And now Shivolo has been removed from his post.

"There was just too much going on in terms of allegations being made against him. He remains in the ministry, but we needed a change of guard for the position of mining commissioner. I think it would be irresponsible of me to see all these complaints and not act," Alweendo told Namibian Sun.

Shivolo had been mining commissioner since 2008.

Serious allegations

After Karlowa’s EPL was not renewed, it was instantly awarded to Orange River Mining Pty Ltd, which immediately sold its stake to Xinfeng Investments. It is alleged Xinfeng paid up to N$50 million to Orange River Mining, which belongs to Muyamba’s cousin Peter Shifwaku, and related entities. Muyamba has since been reported to the Anti-Corruption Commission (ACC).

Shivolo’s removal comes as a fleet of 80 large trucks continues to transport lithium ore day and night from the Xinfeng Investments lithium mine along the Uis road towards the Walvis Bay port for export.

A local farmer in the Uis area said the mine is situated 46 km on the Omaruru road and has been worn down by the continuous movement of the large vehicles. He said the road should have been tarred before the heavy traffic commenced.

Thriving industry

In September, the Chinese brought in the fleet to rapidly increase exports of the ore to its plant in China for further processing into battery-grade lithium chemicals. Local media at the time reported that 25 000 tonnes of lithium ore had already been exported by 23 September.

Another 50 000 tonnes would have flowed through Namport's Walvis Bay port that month.

On 7 October, Namport confirmed that 54 719 tonnes of lithium had already been exported this month alone

According to Namport's executive officer for commercial services, Elias Mwenyo, demand for lithium worldwide is expected to grow from 200 000 tonnes to 800 000 tonnes by 2025.

He said the battery manufacturing industry is growing at 65% to 70%.

Investigations

On 20 October, Alweendo said at a press conference that the exportations of raw ore were being halted.

"We have already stopped it. I instructed that we stop it," he said.

Alweendo said he did not understand how Xinfeng obtained an export permit and was waiting for feedback from his officials.

On Thursday last week, mines ministry spokesperson Simon Andreas confirmed that Xinfeng's export and transport permits had been suspended.

"Currently the company does not have a transport or an export permit," he said in response to questions from Namibia Media Holdings.

According to him, the ministry found that the mine transported ore to Walvis Bay without permits.

"As a result, the ministry has given notice that mining licence 243 (ML243) may be cancelled, depending on the submission that the company must make within 30 days. In the meantime, the ministry has instructed that mining operations stop," he said.

Transport questions

According to the ministry, Xinfeng was authorised to export N$63 million worth of lithium ore already. "The ministry will investigate reports that trucks transporting ore were seen this week," he said.

However, Namibia Media Holdings' coastal newspaper, Erongo, was able to find evidence over the weekend that the lithium was still being transported into Walvis Bay.

Truck drivers confirmed on Saturday that they had driven into the port in the morning and were waiting for their truck to be unloaded before they would drive back to the Xinfeng mine near Omaruru.

Investigations show that the trucks use the MR44 Hifikepunye Pohamba highway and enter the port town by road past the Dune Mall, straight to the port. Trucks also use the fuel station in the new industrial area to refuel. Questions sent to Zhou Hao from Xinfeng Investments were ignored and calls went unanswered.

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