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Miner looks for investors

Rudolf Kamburona, Director of Omuhuka Diamond Exploration Company

Rudolf Kamburona, Director of Omuhuka Diamond Exploration Company

The lack of funding for small scale miners is hindering progress in the sector according to Rudolf Kamburona, Director of Omuhuka Diamond Exploration.
“There is a lot of potential, but money to invest in order to discover these minerals is a huge challenge,” Kamburona told the Economist this week.
The former Member of Parliament turned farmer started his own mining exploration company in 2007.
“After the mineral resources were nationalised in Namibia and people were encouraged to apply for EPLs. I also applied for a license and was fortunate enough to be granted an EPL in an area of rich mineral resources,” he says.
EPL 3788 was granted to Omuhuka Diamond Exploration for a period of three years for the exclusive exploration of precious stones, precious metals, industrial minerals, semi-precious stones, base and rare metals.
The area is located in the Sperrgebiet area, 180km north of Oranjemund town, an area which has been restricted since the discovery of the first diamond in Namibia.
Kamburona says their focus is on diamonds due to the proven presence of diamonds in the area. “Rich diamond deposits have been mined along the Sperrgebiet coast, and we know that there are minerals in the area,” he says confidently.
Although there are substantial mineral deposits within the area, Kamburona says finding investors is problematic.
“To run a mine is very expensive; the purchasing and maintenance of machinery is very expensive. What we see with many of the foreign investors is that they take local mine owners’ licenses and exploit them, selling them on their Stock Exchanges for millions of dollars.”
A concerned Kamburona urged fellow EPL owners to be vigilant of such investors as they do not have the nation’s interest at heart.
“The idea is to benefit from the natural resources, for self-empowerment which leads to economic growth and a higher GDP.
“This opportunity was previously denied to us, but now we have the chance to enrich ourselves as Namibians, from our own resources and give back what we get from the EPL.”
Although it has proved challenging to find investors, especially foreign investors, due to the economic recession being experienced in Europe, Kamburona remains hopeful.
He hopes to improve the livelihoods of other disadvantaged citizens by providing employment as well as career opportunities with initiatives such as social grants.

About The Author

Following reverse listing, public can now acquire shareholding in Paratus Namibia

Promotion

20 February 2020, Windhoek, Namibia: Paratus Namibia Holdings (PNH) was founded as Nimbus Infrastructure Limited (“Nimbus”), Namibia’s first Capital Pool Company listed on the Namibian Stock Exchange (“NSX”).

Although targeting an initial capital raising of N$300 million, Nimbus nonetheless managed to secure funding to the value of N$98 million through its CPC listing. With a mandate to invest in ICT infrastructure in sub-Sahara Africa, it concluded management agreements with financial partner Cirrus and technology partner, Paratus Telecommunications (Pty) Ltd (“Paratus Namibia”).

Paratus Namibia Managing Director, Andrew Hall

Its first investment was placed in Paratus Namibia, a fully licensed communications operator in Namibia under regulation of the Communications Regulatory Authority of Namibia (CRAN). Nimbus has since been able to increase its capital asset base to close to N$500 million over the past two years.

In order to streamline further investment and to avoid duplicating potential ICT projects in the market between Nimbus and Paratus Namibia, it was decided to consolidate the operations.

Publishing various circulars to shareholders, Nimbus took up a 100% shareholding stake in Paratus Namibia in 2019 and proceeded to apply to have its name changed to Paratus Namibia Holdings with a consolidated board structure to ensure streamlined operations between the capital holdings and the operational arm of the business.

This transaction was approved by the Competitions Commission as well as CRAN, following all the relevant regulatory approvals as well as the necessary requirements in terms of corporate governance structures.

Paratus Namibia has evolved as a fully comprehensive communications operator in Namibia and operates as the head office of the Paratus Group in Africa. Paratus has established a pan-African footprint with operations in six African countries, being: Angola, Botswana, Mozambique, Namibia, South Africa and Zambia.

The group has achieved many successes over the years of which more recently includes the building of the Trans-Kalahari Fibre (TKF) project, which connects from the West Africa Cable System (WACS) eastward through Namibia to Botswana and onward to Johannesburg. The TKF also extends northward through Zambia to connect to Dar es Salaam in Tanzania, which made Paratus the first operator to connect the west and east coast of Africa under one Autonomous System Number (ASN).

This means that Paratus is now “exporting” internet capacity to landlocked countries such as Zambia, Botswana, the DRC with more countries to be targeted, and through its extensive African network, Paratus is well-positioned to expand the network even further into emerging ICT territories.

PNH as a fully-listed entity on the NSX, is therefore now the 100% shareholder of Paratus Namibia thereby becoming a public company. PNH is ready to invest in the future of the ICT environment in Namibia. The public is therefore invited and welcome to acquire shares in Paratus Namibia Holdings by speaking to a local stockbroker registered with the NSX. The future is bright, and the opportunities are endless.