The non-full release of the share capital, and the absence of a text specifying the terms of remuneration of beneficiaries of the mining withholding tax are cited as the main constraints of this public company according to a CTR report.
To achieve its objectives, notably the establishment of a gold refining unit in Cameroon, the Société Nationale des Mines (Sonamines) must meet several challenges. According to the Technical Commission for the Rehabilitation of Companies in the public and parapublic sector (CTR), this company created on December 14, 2020 is having difficulty taking off due to the non-full release of the share capital, and the absence of a text specifying the terms of remuneration of beneficiaries of the mining tax. Because Sonamines was mandated to collect and secure gold via the Synthetic Mining Tax (ISML) owed by companies engaged in mining. However, the specific mandate for this activity remains to be regularized, although at the end of the 2022 financial year, the resources collected by this company mainly come from the ISML.
From January to December 2022, SONAMINES collected and secured 218,506 kg of gold compared to 55.59 kg of gold for the period from January 17 to December 31, 2021. An increase of 262.5%. This cargo, collected over a period of 16 months, was presented by the Minister of Finance as the equivalent of 30% of the total quantity of gold material collected over a period of 11 years. In October 2023, Sonamines returned this stock with an average carat of 20.03 to the State of Cameroon through the Ministry of Finance. Created through operations to monitor artisanal activities in the southern regions, from the East, Adamawa and the North, these 218,506 kg of gold are valued on December 31, 2022 at 6.4 billion FCFA.
The CTR report notes that SONAMINES recorded exchange gains of 6,398,772 FCFA in 2022. But, to maintain an increasing curve, the company must overcome financial challenges and achieve autonomy. Because, ” despite a new partial release of the capital of FCFA 3,500,000,000 and the opening of the SCB Capital account which presents a balance of FCFA 1,500,000,000 bringing the released capital to FCFA 5,000,000,000, the initial cash flow does not allow cover operating expenses, finance working capital (the need for which is estimated at FCFA 5.12 billion)”, underlines the CTR.
The report recommends that the State shareholder supports Sonamines in the search for partnerships and solutions necessary for the formalization of revenue-generating activities. Above all, it will be necessary to intensify the search for financing in order to carry out projects likely to improve its financial autonomy. These include, among other things, the establishment of a gold refining unit in Cameroon; the establishment of a mineral water exploitation, packaging and marketing unit; the limestone exploitation projects in Sikoum and pozzolan in Loum. The full liberalization of social capital also remains an imperative according to the CTR.
Sonamines’ mission is to manage the interests of the State in the mining sector. After a first year dedicated to the establishment of its offices and management bodies, the company obtained the limestone reconnaissance permit in May 2022 prior to the exploration and exploitation of mineral substances. This same year was also marked by the company’s participation in the negotiations of the mining conventions of CAMALCO for the bauxite of Mini Martap and CAMINCO for the gold of Mborguéné.
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