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Mining Perpetuating Problems Other Than Benefits to Local
Communities in Malawi
A case of one Mrs Lughano Munthali of Kayelekera Village in Karonga
Malawi a predominantly agriculture economy is one of the least developed countries in the
world with a Gross Domestic Product (GDP) of about US$ 4 Billion. Malawi is endowed
with a number of valuable natural resources such as uranium, niobium, tantalum, zircon, coal,
corundum, magnate, graphite, phosphate, and heavy mineral sands. In the past five years,
more than 120 mining licenses have been issued to both national and international companies
and among these licenses are six petroleum exploration licenses. Currently, the main players
in the mining industry in Malawi are Kayelekera uranium mine, Mkango Resources together
with Lynas Corporation Limited who are exploring rare earths, and the Globe Metals &
Mining Limited who are interested in Niobium.
The Kayelekera Uranium Deposit is located in Northern Malawi in Southern Africa. It is 8km
south of the road connecting the townships of Chitipa and Karonga and is accessible via dirt
road from Karonga, 40km to the west at the main north/south road of Malawi. The deposit is
covered by the Exclusive Prospecting Licence (EPL) 070 covering 157km². The project is
held by Paladin Africa Ltd, a Malawi registered company and a wholly-owned subsidiary of
Paladin Energy Ltd. The company signed an agreement with the government of Malawi in
February 2007.
Since the mine was opened, there have been mixed views, perceptions and expectations
towards the mine especially on the prospective benefits of the communities surrounding the
mine. Mrs Lughano Munthali, a 27 year old woman, married with 4 children shared her
expectations and experience with the mine. She explained that prior to the opening of the
mine the communities were not consulted to get their views regarding the opening of the
mine. She also complained that they were also not briefed about the hazards the mine would
likely bring in their community, rather they were only informed about the developments and
benefits that Paladin was going to bring in their communities such as construction of a
hospital, a bridge, a school and provide them with clean and safe water of which have not
been fulfilled to date. “where is the hospital that they promised to construct? We walk long
distances to access health services and even when we meet a Paladin Vehicle on the way they
do not stop to give us a lift. You can imagine a pregnant woman walking almost 5 km with a
baby on her back and refusing to give you a lift.” They communities were filled with hopes
that Paladin would employ most of the community members but this was not the case as very
few have benefited through employment in their community.
Lughano also complained that strange skin diseases have occurred in their area, and her 7
year old son is a victim - he has skin rash all over his body. Another child within the
community was also noticed with the same skin disease. However, there is need for a
scientific research to see if indeed the rash is as a result of various forms of pollution from the
activities of the uranium mine. The government should play an active role in this. Lughano
further said that regular blasting at the mine produces bad air and dust which causes severe
coughing. Most people are suffering from these coughs but the government is doing nothing
about it. She said that it is painful to see that while other people are benefiting with the
money obtained from the mining deals, it is them that are paying the worst price in many
different ways.
In February 2014, Paladin Energy Ltd announced that its subsidiary company, Paladin
(Africa) Limited (PAL), was suspending production at its Kayelekera Mine in Malawi. The
suspension involves placing the Operation on care and maintenance until the price of uranium
recovers. This decision will preserve the remaining ore body until a sustained price recovery
occurs and Paladin determines that production may be resumed on a profitable basis. “I hope
they don’t come back, these people have robbed from us,” lamented Mrs Munthali when
asked to comment on the closure of the mine.
ActionAid International Malawi with Citizens for justice through its responsive mining
governance project funded by Tilitonse Fund are working in partnership with a Karongabased Organization called URAHA Foundation to empower local communities knowledge of
their rights and the means that they can employ in an effort to demand their rights. The
project aims at increasing the capacity of the vulnerable groups’ in order to influence
decisions on issues of mining at community level. Similar work is being implemented in
Mzimba and Phalombe.