Global Trade Alert

The Minerals and Petroleum Resources Royalty Act, 2008,is to take effect from 1 March 2010. The introduction of the new law was postponed for a year to give mining companies a rest from the global recession. The law requires all companies extracting minerals in the country to pay royalties at a minimum rate of 0.5% and a maximum rate of between 5% and 7% for refined and unrefined minerals, respectively. based on gross sales, less their allowable deductions.