Shivute raises alarm over non-tax-paying mining companies
Strengthen audit capacity ‘so that Namibia gets what is due'
Several Namibian uranium companies are expected to remain loss-making until 2031, delaying corporate tax contributions despite the sector's global significance, the NamRA commissioner says.
Namibia Revenue Agency (NamRA) commissioner Sam Shivute told a parliamentary standing committee on the economy last week that, while mining is a key pillar of the economy, some large companies operating in Namibia do not pay corporate tax.
“We must continue to build our audit capacity so that Namibia gets what is due,” Shivute said.
He noted that gold revenues rose from N$1.6 billion in 2023/24 to N$3.1 billion in 2024/25, following tighter transfer pricing audits that brought more producers into the tax net.
“The interesting part about gold is that you find different players there. There were players who were not contributing anything. With our strengthening of transfer pricing, all ten are now developing capacity. You see, even those who were not doing their part are coming to the table. That is a good sign,” he said.
Diamonds performed poorly, with revenue collections falling 49% from N$5.7 billion in 2023/24 to N$2.9 billion in 2024/25, the commissioner noted.
“This year it will be even worse,” he warned.
Regarding uranium, Shivute highlighted that Namibia produces about 5 500 metric tonnes annually, making it the world’s third-largest producer, alongside Kazakhstan and Canada.
While uranium fuels 10% of the world’s electricity, several Namibian uranium companies are expected to remain loss-making until 2031, delaying their corporate tax contributions despite the sector’s global significance.
Shivute said Namibia must continue to strengthen its audit and compliance systems to ensure companies contribute their fair share.
Billions to the state
According to calculations by Namibian Sun, the mining sector contributed 21.3%, equivalent to an estimated N$54.26 billion, to Namibia’s nominal GDP of N$254.6 billion in 2024, through corporate tax, royalties, export levies, wages, procurement, training, exploration and fixed investment.
The Chamber of Mines' 2023/2024 annual review shows that eight mining companies out of 16 collectively paid more than N$3 billion in corporate tax in 2024.
Rössing Uranium was the largest contributor, paying N$1.148 billion from a turnover of N$6.48 billion, followed by B2Gold Otjikoto with N$1.875 billion and Langer Heinrich Uranium with N$841 million from N$6.95 billion in turnover.
Navachab Gold Mine added N$725.7 million, Namdeb Holdings N$84 million and Walvis Bay Salt Refiners N$11.2 million. Debmarine Namibia paid N$113 million.
Royalties
Royalties brought in over N$2.1 billion. Namdeb Holdings paid the highest at N$1.3 billion, followed by Rössing Uranium at N$423 million and Langer Heinrich at N$380 million. Trigon Mining Namibia paid N$12.9 million despite posting a large loss, while Ongopolo Mining paid N$10 million.
Export levies added N$176.8 million to state income. The Namibia Diamond Trading Company (NDTC) led with N$154.8 million, followed by Rosh Pinah Zinc Corporation with N$16.8 million and Trigon Mining Namibia with N$5.2 million.
However, several companies with substantial turnover, including Sinomine’s Tsumeb Smelter and Ongopolo Mining, paid no export levies.
Companies that did not pay corporate tax
Despite their economic footprint, several companies did not pay corporate tax in 2024. Namdeb Corporation, with a turnover of N$5.282 billion, recorded a loss of N$79 million.
Trigon Mining Namibia reported a turnover of N$566.8 million but a loss of N$425.1 million. Sinomine Tsumeb Smelter generated N$1.709 billion in turnover but posted a loss of N$274 million.
Ongopolo Mining reported a turnover of N$519 million and a profit of N$109 million but paid no corporate tax.
Rosh Pinah Zinc Corporation recorded N$1.689 billion in turnover and N$22.1 million in profit, but did not pay tax due to deferred tax and restructuring-linked royalty arrangements. Sakawe Diamond Mining declared no turnover but a provisional profit of N$4 million and also paid no tax.
Other statutory contributions
Even companies that did not pay corporate tax made significant contributions in other areas.
Namdeb Corporation spent N$1.130 billion on wages and N$3.896 billion on procurement, 85% of which was local.
Sinomine Tsumeb Smelter paid N$594 million in salaries and N$1.195 billion in procurement.
Rosh Pinah spent N$421 million on wages, N$979.3 million on procurement and N$16.8 million on export levies.
Trigon Mining Namibia paid N$110.1 million in wages, spent N$654.6 million in procurement and N$212.8 million in fixed investment. Ongopolo Mining disbursed N$51 million in wages, N$173 million in procurement and N$10 million in royalties.
Economic impact
Overall, the mining industry contributed N$54.26 billion to Namibia’s economy in 2024.
This included over N$3 billion in corporate tax, more than N$2.1 billion in royalties and N$176.8 million in export levies.
Wages and salaries were another central channel, led by Rössing Uranium at N$1.2 billion and Namdeb Corporation at N$1.13 billion, underlining the industry’s role as a key employer.
“We must continue to build our audit capacity so that Namibia gets what is due,” Shivute said.
He noted that gold revenues rose from N$1.6 billion in 2023/24 to N$3.1 billion in 2024/25, following tighter transfer pricing audits that brought more producers into the tax net.
“The interesting part about gold is that you find different players there. There were players who were not contributing anything. With our strengthening of transfer pricing, all ten are now developing capacity. You see, even those who were not doing their part are coming to the table. That is a good sign,” he said.
Diamonds performed poorly, with revenue collections falling 49% from N$5.7 billion in 2023/24 to N$2.9 billion in 2024/25, the commissioner noted.
“This year it will be even worse,” he warned.
Regarding uranium, Shivute highlighted that Namibia produces about 5 500 metric tonnes annually, making it the world’s third-largest producer, alongside Kazakhstan and Canada.
While uranium fuels 10% of the world’s electricity, several Namibian uranium companies are expected to remain loss-making until 2031, delaying their corporate tax contributions despite the sector’s global significance.
Shivute said Namibia must continue to strengthen its audit and compliance systems to ensure companies contribute their fair share.
Billions to the state
According to calculations by Namibian Sun, the mining sector contributed 21.3%, equivalent to an estimated N$54.26 billion, to Namibia’s nominal GDP of N$254.6 billion in 2024, through corporate tax, royalties, export levies, wages, procurement, training, exploration and fixed investment.
The Chamber of Mines' 2023/2024 annual review shows that eight mining companies out of 16 collectively paid more than N$3 billion in corporate tax in 2024.
Rössing Uranium was the largest contributor, paying N$1.148 billion from a turnover of N$6.48 billion, followed by B2Gold Otjikoto with N$1.875 billion and Langer Heinrich Uranium with N$841 million from N$6.95 billion in turnover.
Navachab Gold Mine added N$725.7 million, Namdeb Holdings N$84 million and Walvis Bay Salt Refiners N$11.2 million. Debmarine Namibia paid N$113 million.
Royalties
Royalties brought in over N$2.1 billion. Namdeb Holdings paid the highest at N$1.3 billion, followed by Rössing Uranium at N$423 million and Langer Heinrich at N$380 million. Trigon Mining Namibia paid N$12.9 million despite posting a large loss, while Ongopolo Mining paid N$10 million.
Export levies added N$176.8 million to state income. The Namibia Diamond Trading Company (NDTC) led with N$154.8 million, followed by Rosh Pinah Zinc Corporation with N$16.8 million and Trigon Mining Namibia with N$5.2 million.
However, several companies with substantial turnover, including Sinomine’s Tsumeb Smelter and Ongopolo Mining, paid no export levies.
Companies that did not pay corporate tax
Despite their economic footprint, several companies did not pay corporate tax in 2024. Namdeb Corporation, with a turnover of N$5.282 billion, recorded a loss of N$79 million.
Trigon Mining Namibia reported a turnover of N$566.8 million but a loss of N$425.1 million. Sinomine Tsumeb Smelter generated N$1.709 billion in turnover but posted a loss of N$274 million.
Ongopolo Mining reported a turnover of N$519 million and a profit of N$109 million but paid no corporate tax.
Rosh Pinah Zinc Corporation recorded N$1.689 billion in turnover and N$22.1 million in profit, but did not pay tax due to deferred tax and restructuring-linked royalty arrangements. Sakawe Diamond Mining declared no turnover but a provisional profit of N$4 million and also paid no tax.
Other statutory contributions
Even companies that did not pay corporate tax made significant contributions in other areas.
Namdeb Corporation spent N$1.130 billion on wages and N$3.896 billion on procurement, 85% of which was local.
Sinomine Tsumeb Smelter paid N$594 million in salaries and N$1.195 billion in procurement.
Rosh Pinah spent N$421 million on wages, N$979.3 million on procurement and N$16.8 million on export levies.
Trigon Mining Namibia paid N$110.1 million in wages, spent N$654.6 million in procurement and N$212.8 million in fixed investment. Ongopolo Mining disbursed N$51 million in wages, N$173 million in procurement and N$10 million in royalties.
Economic impact
Overall, the mining industry contributed N$54.26 billion to Namibia’s economy in 2024.
This included over N$3 billion in corporate tax, more than N$2.1 billion in royalties and N$176.8 million in export levies.
Wages and salaries were another central channel, led by Rössing Uranium at N$1.2 billion and Namdeb Corporation at N$1.13 billion, underlining the industry’s role as a key employer.
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