Maputo — Mozambique's National Environmental Quality Control Agency (AQUA) has fined the mining company Ecogems 21 million meticais (about 328,600 US dollars, at the current exchange rate) for operating a gold mine without the required environmental license in Lalaua district, in the northern province of Nampula.

AQUA's decision follows complaints made public by Silvério João, the Lalaua district administrator, claiming that Ecogems arrived in Lalaua and started mining gold without possessing the required legal instruments. Furthermore, it did not conduct a community consultation, which is also a legal requirement.

The AQUA Director-General, Renato Timane, recently told reporters that João's complaints were investigated and it was confirmed that the company was operating outside of the law.

Timane explained that, in addition to the financial penalty, the company has been forced to suspend its activities for a period of 48 months "until the families displaced as a result of the mining activity, which did not comply with certain legal criteria, are properly compensated.'

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"Ecogems did not comply with all the legal procedures required for its operation. On the ground, the company is carrying out activities that require a more thorough environmental analysis. The communities were displaced without any consultation. The compensation only covered four households, and they are not satisfied. Therefore, the entire process needs to be restructured', Timane said.

He explained that the mining law proposes a 48-month period to organize the entire process related to the land title (DUAT) and other necessary documents. If a company does not possess these documents is forced to halt its activities.