Tanzania’s State Mining Corporation STAMICO Awarded Large-Scale Rare Earth Mining Licence for Wigu Hill, Minister Orders Immediate Development

The State Mining Corporation (STAMICO) has been awarded a large-scale exploration and mining licence for rare earth elements (REEs) at Wigu Hill in Morogoro Region in eastern-central Tanzania.

The handover was officiated by Minister of Minerals Anthony Mavunde on 24 July 2025 in Sesenga village, Mgazi ward, Morogoro District, after the government repossessed the licence from Wigu Hill Mining Company Limited upon conclusion of a litigation at the International Centre for Settlement of Investment Disputes (ICSID).

Speaking at the public handover event, Minister Mavunde said rare earth elements are strategic minerals with growing global demand due to their use in military technology, smartphones, computers, electric vehicle batteries, medical equipment, and various industrial machines.

“This is a rare opportunity for Sesenga village, Morogoro Region, and the nation at large to benefit from this critical resource,” Mavunde stressed.

He added that the project will create employment for surrounding communities, promote local content through the supply of goods and services, and contribute to community development through corporate social responsibility (CSR).

He further stated that the Morogoro District Council is expected to benefit from increased revenue through service levies on mining operations.

Mavunde directed STAMICO to begin development of the license immediately, allowing mineral production to start on schedule.

STAMICO CEO Dr. Venance Mwasse thanked the government for the trust placed in the corporation and confirmed that STAMICO is prepared to implement the project on time and in line with national objectives.

“STAMICO is committed to managing this project with the highest level of professionalism to increase the mining sector’s contribution to GDP,” Mwasse said.

Wigu Hill

Wigu Hill is a rare earth elements (REEs) deposit located in Kilosa District, Morogoro Region. The deposit includes minerals such as lanthanum, cerium, neodymium, and praseodymium used in various industrial and technological applications.

The licence was previously held by Wigu Hill Mining Company Limited, formerly associated with Montero Mining & Exploration Ltd.

The Government of Tanzania cancelled the licence, and a legal dispute followed at the International Centre for Settlement of Investment Disputes (ICSID). The case concluded with the government regaining control of the licence following a US$27 million settlement with Montero.

The licence has been reallocated to the State Mining Corporation (STAMICO) as part of the government’s efforts to advance the development of strategic mineral resources through state-owned entities.