Mozambique has enacted sweeping new mining legislation requiring the state to hold a minimum 15% stake in all mining projects, as the resource-rich southern African nation seeks to capture a larger share of the value generated by its vast mineral wealth.
The new law, signed by President Daniel Chapo, comes at a time of rising global demand for critical minerals used in electric vehicle batteries and energy storage systems.
Mozambique is one of the world's leading graphite producers and hosts the giant Balama mine, one of the largest graphite deposits globally.
With graphite emerging as a critical mineral for electric vehicle batteries, the country has become one of the world's most strategically important suppliers, ranking behind only China and Madagascar in global production.
Under the legislation as reported by Reuters, the Mozambican state, through the National Mining Company (ENM), will receive a minimum 15% free-carried and non-dilutable stake in all mining ventures across the value chain. The law was approved by Parliament in May and officially signed this week.
