DILI, 21 march 2023 (TATOLI) – The government of Timor-Leste, through the Ministry of Petroleum and Minerals (MPM) together with the National Petroleum and Minerals Authority (ANPM), and the relevant authorities will establish the Timor-Leste Mineral Fund to ensure transparency and long-term management of the country’s mineral revenues.
The Minister of Petroleum and Minerals, Víctor da Conceição Soares said that mineral exploration is fundamental for the economic development of the country, adding therefore the creation of the Mineral Fund is fundamental to ensure good management of mining revenues.
Timor-Leste has so far generated around US$11 million since it began mining activities in 2018, according to Minister Soares.
“Mining royalties and taxes would contribute immensely to increasing state revenues. MPM and ANPM will continue to put efforts to establish the Mineral Fund to ensure transparency and preservation of mining revenues for future generations,” he said.
In order to establish the fund, both authorities will first consult the National Parliament on the drafting of the Mineral Fund law.
The President of ANPM, Florentino Soares Ferreira pointed out that, according to Timor-Leste’s Mining Code, the country has to create the Mineral Fund: “Thus, ANPM and MPM will consult the National Parliament about the Mineral Fund law.”
“The purpose of creating this fund is to continue supporting the economic development of the country,” Ferreira reiterated.
So, besides the Petroleum Fund, Timor-Leste will definitely have another State fund called the Mineral Fund.
It is recalled that on november 16 last year, the government, through the Council of Ministers (CoM), approved a resolution to open areas for mining activities in the national territory. Meanwhile, the CoM also approved the terms of reference of the tender for the allocation of mining rights for the exploration and production of construction materials in the country.
The government is therefore opening three areas within the national territory for mining activities, especially for construction materials that are classified as industrial minerals: The three areas are the Laclo and Laleia rivers in Manatuto Municipality, and the Loes river in Liquica Municipality.
Journalist: Filomeno Martins
Editor: Nelia Borges
