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Mining sector attracts fresh investment

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The Ministry of Natural Resources and Energy says it approved three coal mining licences, two gold prospecting licences and several quarry licences as part of ongoing efforts to promote mineral exploration and support economic growth. (AI image generated for story clarity)
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MBABANE – Government issued new coal, gold and quarry licences during the first quarter as investment in Eswatini’s mining sector continued to gain momentum.

The Ministry of Natural Resources and Energy says it approved three coal mining licences, two gold prospecting licences and several quarry licences as part of ongoing efforts to promote mineral exploration and support economic growth.

According to the ministry’s first-quarter performance report, the newly-issued licences are expected to encourage further investment in the country’s mineral resources while creating opportunities for future mining operations and associated economic activity.

The report notes that quarry licences were granted to support the supply of construction materials required for infrastructure development projects across the country. It says demand for quarry products continues to grow as government implements road and other public infrastructure projects.

In addition to issuing licences, the Geological Survey and Mines Department continued assessing applications from prospective investors seeking rights to explore and develop mineral resources. Technical evaluations, field inspections and compliance monitoring were carried out to ensure mining activities met the requirements of the Mines and Minerals Act.

The ministry also continued collecting and managing geological data to support mineral exploration. Work progressed on digitising geological information and updating national mineral databases to improve access to information for potential investors and other stakeholders.

Environmental compliance remained a key focus during the quarter. Officials conducted inspections at active mining operations to monitor adherence to licence conditions, occupational safety standards and environmental management requirements.

The report further states that government provided technical advice to investors and mining companies on regulatory requirements, mineral potential and licensing procedures as part of efforts to improve the ease of doing business in the sector.

The ministry says it will continue promoting exploration and responsible mineral development to unlock the country’s mineral potential while ensuring mining activities are undertaken in accordance with national laws and environmental standards.

It is worth noting that according to the Ministry of Natural Resources First Quarter Performance Report for the Financial Year 2026/27, coal was the largest contributor to the mining sector, generating gross sales of E157.70 million, while the demand for quarry stone remained strong, largely driven by ongoing road construction and infrastructure development projects throughout the country. The subsector generated gross sales of E24.23 million during the reporting period.

On the other hand, the gold mining sector continued production during the reporting period, generating gross sales of approximately E13.51 million. Despite comparatively lower production volumes, gold remains a high-value mineral commodity due to its strong market value.

Furthermore, it is said the production of green chert had a total output of 126 250 kilogrammes generating gross sales of E3.16 million.

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