Haib copper project may not be renewed Deep-South sues Namibian Ministry of Mines in court

Deep-South Resources of Canada is taking Namibia's Ministry of Mines and Energy to court after it refused to renew its exploration license for its Haib copper project in June.

The Vancouver-based miner warned that it would challenge the decision "in all necessary ways" because it said it had clearly proved that it had met all the criteria to justify the renewal.

The application is also directed against the Mining Commissioner and Orange River Exploration and Mining, where Deep-South Resources seeks an emergency injunction to prevent the government from granting exploration or mining rights to the company in the same permitted area.

Orange River was designated as a potential stakeholder in the lawsuit because it applied for an exclusive exploration license to extend to the Haib copper deposit on November 12 last year.

From April 2017 to April 2021, Deep-South invested more than C $2 million (US $1.6 million) in the project, including the latest preliminary economic assessment. The miner also proposed a C $7.1 million feasibility study and a C $25.5 million pilot plant.

Since receiving the news that the license was refused, Deep-South has stopped all work on the project and fired employees on the site.

The company acquired the rest of the project from Tektronix Resources, one of its major shareholders, in 2017. The mine is expected to produce 35332 tons of cathode copper and 51080 tons of copper sulfate per year during its 24-year life.