Kayelekera Uranium Mining Project
My Opinion on the Proposed Kayelekera Uranium Mining Project
The proposed Kayelekera Uranium Mining Project in a mountanous area of Karonga District bordering with Chitipa in the Northern region of Malawi. Some civil society organisations in Malawi, such as the Centre for Human Rights and Rehabilitation CHRR) have raised environmental concerns about the proposed uranium mining project in various forums, which cannot go unchallenged.
I have travelled on the road that passes close to the proposed project for many years and noticed 'mining' activities going on in the area, which have never been properly reported. Prospecting for Uranium at Kayelekera has gone on since the 1980s. The lack of transparency at the time on what was happening at the proposed mine raised a lot of speculation. Most people in Chitipa and Karonga started believing that uranium was actually being secretly mined by foreign companies with the knowledge of the Government of the time, which probably benefited from the proceeds.
It is documented that in the 1980s the British Central Electric Generating Board (CEGB), discovered and evaluated the Kayelekera deposit up to a full feasibility study and collected many kilograms of uranium samples from the area without making the initiative known to the public. In short, for reasons best known to themselves, there was neither openness nor any keen interest by the previous regimes to develop uranium mining project at Kayelekera in Karonga.
However, from about 2004, Malawians started reading and hearing about the uranium project at Kayelekera with Paladin Africa an Australian company clearly showing interest in the project. This company was transparent about its activities on the proposed project and provided regular updates on their prospecting activities through various media including press articles in the Nation Newspaper and their website. This company, unlike others in the past has been very open on the activities that have been taking place at Kayelekera. The company deserves credit for this and at the same time the current Government should be commended for keeping the public informed and being transparent about the potential uranium mining activities at Kayelekera.
Malawians have in the past been made to believe that the country has no any exploitable mineral resources. With this unsubstantiated belief, it goes without saying that the majority of Malawians ought to rejoice and be excited at the news that there is potential for exploitation of uranium which is a high value mineral resource in the country. This uranium project has potential to contribute significantly to job creation as well as being a source of foreign exchange. The value of the Kayelekera Uranium mining project is estimated at around $150 million. With the expected production of 1,000 tons of uranium per year, the mine clearly will bring into the country a lot of the much needed foreign exchange which will boost the country’s economic development. Furthermore, the company has projected to create 260 jobs for Malawians and 80 jobs for expatriates.
With the above-named potential contribution to the economy, Malawians are impatient at the length of time it has taken to start the mining activities at Kayelekera. However, they are also convinced that such a mega-project ought to pass through correct licensing procedures and feasibility studies, including cost-benefit analyses, environmental impact assessments and other assessments so that all stakeholders such as the investors, Government, the local community, civil society and others are satisfied that the project will be in their best interest. According to Paladin Africa, the feasibility and environmental assessment studies have been completed. In its edition of 21 September, 2006 the ANDnetwork.com quoted Ed Becker – Chief Geologist for Paladin as saying: "Paladin is carrying out a bankable feasibility study and an environmental assessment impact for the Kayelekera Uranium Project." The report goes on to say that this report will be submitted to the Government of Malawi by December 2006 as part of the documentation for a licence application. It is also worth noting that Paladin Africa has over twenty-five years experience in the mining of uranium in Australia and Africa. Paladin Africa has started Construction on the Langer Heinrich Uranium Project in Namibia, which alongside Kayelekera are considered to be the two most advanced uranium projects in Southern Africa.
I have followed civil society concerns on the Kayelekera uranium project with keen interest and concern. I have been particularly disappointed by the negative view of the mine's potential by the CHRR. Without conducting any meaningful and scientific environmental impact assessment, CHRR has been quick to condemn and lobby against the proposed Kayelekera uranium mining project on the pretext that the project will lead to pollution of rivers and Lake Malawi. CHRR has used unsubstantiated environmental concerns as a tool to discourage the start of the mine. Yet, Paladin Africa, as shown above, have in their feasibility studies, considered potential environmental concerns of the mine. Clearly such a project cannot be said to be free of any potential negative environmental effects. This is true for any mining activity. When considering whether a mining project is feasible or not it is often prudent to strive for reaching a balance - we should be looking at cost-benefit analysis to investors, communities and the country as whole. This includes the environmental cost-benefit analysis.
If there are environmental concerns, and yet the project shows potential to produce more benefits than costs, we can recommend a project to start and design strategies for environmental mitigation. In environmental economics, negative environmental impacts, which are often referred to as externalities have to be managed. One way of managing such externalities is to internalise their costs, that is, to make the producers of the externalities to pay the cost of the externalities. When considering the licensing of the mine this is what the Government of Malawi should be looking at. If you asked people of Karonga and Malawi in general and indeed people of Kayelekera in particular, they will be most likely be even wondering why the project did not start many years ago.
CHRR has approached the environmental concerns over the project in a rather simplistic way by appealing to the traditional view that all negative environmental impacts should be avoided by stopping their production - in this case stopping the mining project. The current economic reality of Malawi warrants a more progressive view, where we should encourage this mining investment and design strategies through which we can manage the negative environmental impacts. I do believe that the Kayelekera Uranium Mining Project should be granted a licence to start its operations.
I would be happy to engage CHRR directly to understand their view point, which I believe is misconstrued and not in the best interest of the people of Karonga and the country as whole. CHRR should be very careful not to scare potential investment in the mining sector, which has by the far the best potential to lift the country out of poverty.
Kennedy Lweya, PhD
Training and Development Consultant
The proposed Kayelekera Uranium Mining Project in a mountanous area of Karonga District bordering with Chitipa in the Northern region of Malawi. Some civil society organisations in Malawi, such as the Centre for Human Rights and Rehabilitation CHRR) have raised environmental concerns about the proposed uranium mining project in various forums, which cannot go unchallenged.
I have travelled on the road that passes close to the proposed project for many years and noticed 'mining' activities going on in the area, which have never been properly reported. Prospecting for Uranium at Kayelekera has gone on since the 1980s. The lack of transparency at the time on what was happening at the proposed mine raised a lot of speculation. Most people in Chitipa and Karonga started believing that uranium was actually being secretly mined by foreign companies with the knowledge of the Government of the time, which probably benefited from the proceeds.
It is documented that in the 1980s the British Central Electric Generating Board (CEGB), discovered and evaluated the Kayelekera deposit up to a full feasibility study and collected many kilograms of uranium samples from the area without making the initiative known to the public. In short, for reasons best known to themselves, there was neither openness nor any keen interest by the previous regimes to develop uranium mining project at Kayelekera in Karonga.
However, from about 2004, Malawians started reading and hearing about the uranium project at Kayelekera with Paladin Africa an Australian company clearly showing interest in the project. This company was transparent about its activities on the proposed project and provided regular updates on their prospecting activities through various media including press articles in the Nation Newspaper and their website. This company, unlike others in the past has been very open on the activities that have been taking place at Kayelekera. The company deserves credit for this and at the same time the current Government should be commended for keeping the public informed and being transparent about the potential uranium mining activities at Kayelekera.
Malawians have in the past been made to believe that the country has no any exploitable mineral resources. With this unsubstantiated belief, it goes without saying that the majority of Malawians ought to rejoice and be excited at the news that there is potential for exploitation of uranium which is a high value mineral resource in the country. This uranium project has potential to contribute significantly to job creation as well as being a source of foreign exchange. The value of the Kayelekera Uranium mining project is estimated at around $150 million. With the expected production of 1,000 tons of uranium per year, the mine clearly will bring into the country a lot of the much needed foreign exchange which will boost the country’s economic development. Furthermore, the company has projected to create 260 jobs for Malawians and 80 jobs for expatriates.
With the above-named potential contribution to the economy, Malawians are impatient at the length of time it has taken to start the mining activities at Kayelekera. However, they are also convinced that such a mega-project ought to pass through correct licensing procedures and feasibility studies, including cost-benefit analyses, environmental impact assessments and other assessments so that all stakeholders such as the investors, Government, the local community, civil society and others are satisfied that the project will be in their best interest. According to Paladin Africa, the feasibility and environmental assessment studies have been completed. In its edition of 21 September, 2006 the ANDnetwork.com quoted Ed Becker – Chief Geologist for Paladin as saying: "Paladin is carrying out a bankable feasibility study and an environmental assessment impact for the Kayelekera Uranium Project." The report goes on to say that this report will be submitted to the Government of Malawi by December 2006 as part of the documentation for a licence application. It is also worth noting that Paladin Africa has over twenty-five years experience in the mining of uranium in Australia and Africa. Paladin Africa has started Construction on the Langer Heinrich Uranium Project in Namibia, which alongside Kayelekera are considered to be the two most advanced uranium projects in Southern Africa.
I have followed civil society concerns on the Kayelekera uranium project with keen interest and concern. I have been particularly disappointed by the negative view of the mine's potential by the CHRR. Without conducting any meaningful and scientific environmental impact assessment, CHRR has been quick to condemn and lobby against the proposed Kayelekera uranium mining project on the pretext that the project will lead to pollution of rivers and Lake Malawi. CHRR has used unsubstantiated environmental concerns as a tool to discourage the start of the mine. Yet, Paladin Africa, as shown above, have in their feasibility studies, considered potential environmental concerns of the mine. Clearly such a project cannot be said to be free of any potential negative environmental effects. This is true for any mining activity. When considering whether a mining project is feasible or not it is often prudent to strive for reaching a balance - we should be looking at cost-benefit analysis to investors, communities and the country as whole. This includes the environmental cost-benefit analysis.
If there are environmental concerns, and yet the project shows potential to produce more benefits than costs, we can recommend a project to start and design strategies for environmental mitigation. In environmental economics, negative environmental impacts, which are often referred to as externalities have to be managed. One way of managing such externalities is to internalise their costs, that is, to make the producers of the externalities to pay the cost of the externalities. When considering the licensing of the mine this is what the Government of Malawi should be looking at. If you asked people of Karonga and Malawi in general and indeed people of Kayelekera in particular, they will be most likely be even wondering why the project did not start many years ago.
CHRR has approached the environmental concerns over the project in a rather simplistic way by appealing to the traditional view that all negative environmental impacts should be avoided by stopping their production - in this case stopping the mining project. The current economic reality of Malawi warrants a more progressive view, where we should encourage this mining investment and design strategies through which we can manage the negative environmental impacts. I do believe that the Kayelekera Uranium Mining Project should be granted a licence to start its operations.
I would be happy to engage CHRR directly to understand their view point, which I believe is misconstrued and not in the best interest of the people of Karonga and the country as whole. CHRR should be very careful not to scare potential investment in the mining sector, which has by the far the best potential to lift the country out of poverty.
Kennedy Lweya, PhD
Training and Development Consultant
Labels: Uranium Mining
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