Malawi's parliament has stepped up scrutiny of the Kangankunde Rare Earths Mine in Balaka, with the Speaker of the National Assembly directing the Parliamentary Committee on Natural Resources, Energy and Climate Change to conduct a fresh investigation into the project's operations within 30 days, amid concerns over licensing arrangements and the export of mineral samples.
The directive followed the presentation of the committee's report by its vice-chairperson, Khadijah Leah Chunga, who told parliament that the mine is currently operating under a medium-scale mining licence issued in April 2022, despite the scale of its operations suggesting it should qualify for a large-scale licence.
Chunga said the committee had also found that the mining company failed to produce key technical, financial and environmental documentation, including an Environmental Impact Assessment, during an oversight visit to the site.
She raised further concerns over the export of raw mineral samples to Zambia and Australia for testing, noting that the Geological Survey Department was unable to account for the quantities exported or confirm whether test results had been returned to Malawi.
"We have given the Geological Survey Department two weeks to provide the information, but we are still waiting for the responses," Chunga said, adding that the absence of testing laboratory facilities at the mine site means all raw materials must currently be sent abroad for analysis.
While acknowledging the mine's significant potential to contribute to Malawi's economy, Chunga said the committee remained concerned that the country could be losing value from its mineral resources due to inadequate monitoring and weak regulatory compliance.
Responding to the report, Speaker of the National Assembly Sameer Suleman said parliament would not accept large-scale mining operations being conducted under a medium-scale licence.
"The figures we are hearing here are not medium-scale. That's large-scale. So maybe there's something they don't want to expose by using a large-scale licence," Suleman said.
Suleman gave the committee 30 days to verify all documentation and report back to parliament, warning that the mine could face closure should the investigation uncover irregularities or establish that Malawians are not benefiting adequately from the country's mineral resources.
"We are not going to allow our minerals to be stolen anymore. We'd rather keep them," he said.
The intervention adds to growing parliamentary scrutiny of Malawi's mining sector, as the country seeks to position critical minerals, including rare earths, as a key driver of economic growth while addressing longstanding concerns over transparency and regulatory enforcement in the extractives industry.
