Dar es Salaam. The government has issued breach notices to 95 large and medium-scale mining companies for violating the conditions of their mining licences as stipulated under the Mining Act.
Speaking on May 6, 2025, the minister for Minerals, Anthony Mavunde, said the warning notices—formally issued from April 14, 2025—are valid until May 13, 2025, giving the companies a final opportunity to respond.
He warned that failure to respond within 30 days will result in licence cancellations.
“If they have valid explanations, let them submit them for review. If we are satisfied, we will lift the restrictions. If not, we shall revoke their licences in accordance with Section 63 of the Mining Act, Chapter 123, and its accompanying regulations, which require licensees to commence operations within 18 months of being granted a licence,” he said.
Mr Mavunde explained that several companies had acquired licences as far back as 2011 but had failed to commence any form of mining activity to date.
“Some companies have held licences for 14 years without even driving a pick-up vehicle into the ground. This is unacceptable.”
He revealed that seven of the 95 companies under scrutiny hold projects with a combined dormant capital value exceeding Sh15 trillion, stressing that such inaction undermines the nation’s efforts to develop the mining sector.
“We cannot continue issuing licences to individuals who merely sit on them under the pretext of ongoing negotiations with the government. That is not among the conditions listed on a mining licence,” he said.
“The conditions are clear: any applicant granted a licence must commence mining activities within 18 months—unless valid, approved reasons are submitted to the minister of Minerals through the Mining Commission. Otherwise, operations must begin within the specified timeframe.”
He directed all recipients of breach notices to submit a letter of commitment outlining the specific date they intend to commence mining.
Failure to adhere to that commitment, he warned, will attract legal consequences.
“As a country, we must make tough decisions. We cannot allow individuals to acquire licences and then start looking for funding. The law requires all applicants to provide evidence of financial and technical capacity prior to being granted a licence. You cannot apply first and seek capital later—that would amount to misleading the licensing authority,” he said.
Mr Mavunde cautioned that no leniency should be expected from those who fail to respond within the stipulated period.
He also noted that some defaulters have a tendency to drag the government to court, but insisted that due legal process has been followed in every case.
“The government has acted in full accordance with the law, which mandates all licence holders to develop their claims,” he affirmed.
The mining sector remains a cornerstone of Tanzania’s economic development, contributing significantly to revenue generation, investment inflows, and job creation.
The government has reiterated its commitment to ensuring that mining licences are used for their intended purpose—economic transformation and growth.
