[miningmx.com] – ZIMBABAWE may relax its empowerment legislation forcing all foreign-owned companies to sell control to local firms except in the mining sector, said Reuters citing comments of a cabinet minister.
“The only area where we do not entertain negotiations is mining, because as indigenous Zimbabweans, our contribution is the (mineral) resource,” said Christopher Mushohwe, minister for youth, indigenisation and economic empowerment in an interview with the state-owned Sunday Mail cited by Reuters.
“In other sectors, proposals are considered case by case. We are saying to the investors, if you come, your investment is safe, but we encourage you to partner locals,” he added.
In terms of its indigenisation policy, mining firms are required to sell 51% of their equity to the Zimbabwean state and investors. The law mainly affects South Africa’s platinum companies Anglo American Platinum and Impala Platinum.
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