Mining 2026 Comparisons

Cameroon’s mining industry comprises a mix of artisanal, semi-mechanised, small-scale, and emerging industrial operations. The country is endowed with a variety of mineral resources, including gold, diamonds, bauxite, iron ore, cobalt, and industrial minerals, which are unevenly distributed across its regions. Artisanal mining plays a vital role in providing livelihoods for local communities, particularly in rural areas, but it faces significant challenges, including occupational safety, environmental degradation, and limited access to modern equipment and technology. Semi-mechanised and small-scale operations are increasingly subject to formal regulation, thereby improving production standards and traceability.

Industrial mining, on the other hand, remains at a developing stage and is dominated primarily by foreign investors and international companies. This segment is gradually expanding through the development of exploration and exploitation projects under Law No 2023/014 of 19 December 2023 (the “Mining Code”), which provides for structured permitting, environmental obligations, and reporting requirements. The sector as a whole is increasingly regulated to encourage sustainable mining practices, social and community benefits, and secure investment opportunities.

At the same time, challenges persist in:

• infrastructure, technology;
• workforce training; and
• the formalisation of artisanal activities.

Cameroon’s regulatory framework aims to balance resource development with the protection of communities and the environment, promoting responsible, legally compliant mining across all activities.

Overview of the Cameroonian Legal System

Cameroon has a mixed legal system that combines elements of civil law and common law, reflecting its French and British colonial heritage. This duality is most visible in the judicial system and the sources of law. In the Francophone regions, civil law principles generally govern, while in the Anglophone regions, common law principles continue to apply.

In addition, customary law is recognised in certain areas, particularly in matters related to land and family.

This layered approach means legal rules can vary by region and context, which is important for businesses and individuals operating across the country.

Mining Legislation in Cameroon

Cameroon’s mining sector is governed by a framework of laws and regulations designed to organise and regulate mining activities, ensure compliance, and protect both investors and local communities. The main sources include:

• The Mining Code establishes the general legal framework for mining activities;
• Decree No 2024/05062/PM of 18 November 2024 (the “Decree No 5062”) sets out procedures for carrying out mining operations, whether artisanal, semi-mechanised artisanal or industrial;
• Decree No 2024/05249/PM of 19 November 2024 specifies certain obligations attached to the exercise of mining and quarrying rights;
• Decree No 2024/05248/PM of 19 November 2024 defines the conditions and procedures for establishing protection and exclusion areas where land or mineral substances are protected or excluded from mining. It also addresses how operators are compensated if mining rights are restricted;
• Decree No 2024/05252/PM of 19 November 2024 (the “Decree No 5252”) sets out procedures for the exploitation of spring water, mineral water, thermal mineral water and geothermal resources; and
• Decree No 2024/05253/PM of 19 November 2024 (the “Decree 5253”) specifies the conditions for the exploitation of quarry substances.

These rules are intended not only to regulate technical operations but also to provide clarity and legal certainty for investors. They aim to balance resource development with environmental protection and community interests, ensuring that mining activities are conducted responsibly and sustainably.

In Cameroon, mineral resources are the property of the State, not the private landowner. While private ownership of land extends to the surface and the subsoil under Article 552 of the Cameroonian Civil Code, this right is limited by laws and regulations governing mining. Landowners may carry out constructions or excavations on their property and may exploit certain products from the soil, but the extraction and commercial exploitation of mineral substances are reserved for the State.

The Mining Code (Article 4) clarifies this principle. It provides that all mineral substances contained in the soil and subsoil of Cameroon, like those in its territorial waters and continental shelf, belong to the State, which exercises sovereign rights over them. Any exploitation of these minerals requires compliance with the Mining Code and the relevant regulations, including obtaining the necessary permits and licences from the authorities.

In practice, this means that a private landowner cannot claim ownership of mineral resources beneath their land, and any mining activities are subject to State control and authorisation.

In Cameroon, the State plays a hybrid role in the mining sector, acting as owner and regulator, rather than as a systematic mining operator. Mineral resources are vested in the State, which exercises sovereign rights over them and is responsible for granting mining titles, regulating mining activities, and supervising compliance with applicable laws and regulations.

Mining operations are generally carried out by private operators holding mining titles granted by the State. The State does not act as an owner-operator by default, and direct involvement in mining operations occurs only on an exceptional basis, through a duly mandated public entity, namely the National Mining Corporation (SONAMINES).

The State’s involvement in mining extends beyond its regulatory and licensing functions. All small-scale and industrial mining companies must grant the State a minimum 10% equity stake at no cost. This mandatory stake is non-dilutable and compensates the State for its ownership of the nation’s mineral resources. With mutual consent and for consideration, the State may acquire additional equity beyond the 10% minimum, up to the limits set by law.

Constitutional Basis for Mineral Rights

In Cameroon, mineral rights are grounded in the Constitution (Article 26), which affirms the State’s sovereignty over natural resources. However, it is the Mining Code and its implementing regulations that provide the detailed legal framework governing mineral substances, including their classification, administration and exploitation.

Legal or Contractual Basis

Mineral rights in Cameroon derive primarily from law, not contract. Although certain projects may also be governed by specific mining conventions, these operate within the framework set by the Mining Code and do not replace it.

Status of Mineral Rights as Property

These rights do not grant full ownership of the resource in situ; the resource remains the property of the State. However, holders of valid mining titles acquire enforceable mining rights and become owners of the minerals only once they have been lawfully extracted, subject to compliance with regulatory obligations, including environmental, tax and operational requirements.

In Cameroon, mineral rights are granted by the State through administrative acts, not contracts. These rights generally take the form of authorisation and permit.

Granting authority depends on the nature and scale of the mining activity:

For artisanal mining, an artisanal mining card and an artisanal mining authorisation are granted by the mayor of the municipality concerned, after the prior favourable opinion of the territorially competent Departmental Delegate of the Ministry of Mines (the “Delegate”), Industry and Technological Development (MINMIDT) (Articles 3 et seq, Decree No 05062). However, the authorisation cannot be granted within an active exploration permit area without MINMIDT’s favourable opinion.

Regarding the collection of precious and semi-precious substances, a collector’s card is issued by SONAMINES (Article 24, Decree No 5062).

As for semi-mechanised artisanal mining, the exploitation authorisation is granted by order of the MINMIDT (Article 33, Decree No 5062).

Concerning industrial mining, in Cameroon, the following permits are issued:

• reconnaissance permit – granted by MINMIDT;
• exploration permit – granted by MINMIDT;
• small-scale mining exploitation permit – granted by MINMIDT, after endorsement by the Prime Minister; and
• industrial mining exploitation permit – granted by Decree of the President of the Republic (Article 69, Decree No 5062).

For spring water, mineral water, thermo-mineral water, and geothermal deposits, reconnaissance permits, exploitation permits, and packaging authorisations are granted by MINMIDT pursuant to the provisions of Decree No 5252.

With regards to quarries, artisanal quarry authorisation is granted by the mayor, while MINMIDT grants the reconnaissance permit, industrial quarry permit and public-interest quarry authorisation.

Artisanal Mining

Artisanal mining rights are short-term but renewable, ensuring continuity as long as compliance is maintained.

• An artisanal miner’s card is valid for two years and renewable for the same period. It is strictly personal, non-transferable and cannot be shared.
• Artisanal mining authorisation is also valid for two years. The holder must submit semi-annual activity reports to the Mayor, with copies to the competent Delegate of MINMIDT and SONAMINES, detailing production volumes, estimated market value and workforce employed.

Failure to comply may expose the title to sanction or withdrawal.

• A collector’s card for precious and semi-precious minerals is valid for two years. Renewal applications must be submitted to SONAMINES at least three months before expiry.

In any event, municipalities are primarily responsible for managing and monitoring artisanal activities, in coordination with competent administrations. MINMIDT retains the right to conduct unannounced inspections pursuant to Article 31 (2) of Decree No 5062.

For semi-mechanised artisanal mining, authorisation is valid for two years. The holder must submit an annual activity report to the competent Delegate, for onward transmission to MINMIDT and SONAMINES, before 31 March each year. Non-compliance with reporting, safety or environmental obligations may lead to suspension or withdrawal.

A reconnaissance permit, which does not confer exclusive rights, is valid for one year, renewable for the same term.

Industrial Mining

Industrial titles provide longer tenure and more evident progression from early-stage reconnaissance to full exploitation.

Following Article 47 of Decree No 5062, the holder must submit six-monthly reports to MINMIDT on works performed, expenditure and geological findings, plus a consolidated report after expiry.

An exploration permit, granted for up to three years, is renewable three times for periods not exceeding two years each. On renewal, the area may be reduced but not expanded.

Regarding mining exploitation, an exploitation permit for an industrial mine is granted for twenty years, renewable for consecutive periods not exceeding ten years each. For a small mine, the exploitation permit is granted for five years, renewable for consecutive periods not exceeding three years. Holders must submit semi-annual and annual activity reports to MINMIDT, with copies to SONAMINES.

Spring Water, Mineral Water, Thermo-Mineral Water and Geothermal Deposits

Exploitation permit and packaging authorisation are granted for five years and renewable for successive three-year periods.

Quarries

• Artisanal quarry authorisation is granted for two years.
• Reconnaissance permit is valid for one year, renewable once.
• Industrial quarry permit is issued for five years, renewable for successive periods not exceeding three years each.
• Public-interest quarry authorisation is granted for a period equivalent to the duration of the public infrastructure project concerned.

Environmental Laws and Regulations

Cameroon’s environmental protection framework is primarily based on Framework Law No 96/12 of 5 August 1996 on Environmental Management, complemented by its implementing decrees and orders. Sector-specific legislation also applies in areas such as wildlife, biodiversity, and natural resources. The Constitution recognises the right to a healthy environment and imposes a duty on the State to protect natural resources.

Environmental Licensing for Mining Projects

All exploration and mining projects are subject to a national environmental authorisation process, centred on the preparation and prior approval of an Environmental and Social Impact Study, which:

• identifies both direct and indirect impacts of the project;
• proposes mitigation measures; and
• includes an Environmental and Social Management Plan.

The Environmental and Social Impact Study is first reviewed by the Interministerial Environmental Committee, then validated by the Ministry of the Environment, Protection of Nature and Sustainable Development (MINEPDED), which issues the Environmental Compliance Certificate (ECC).

Hazardous Installations

Mining operations presenting significant risks to health, safety or the environment are classified as “Dangerous, Unhealthy or Inconvenient Establishments”. These installations require specific authorisations from MINMIDT, which impose obligations across various aspects, including safety measures, waste management, protection of natural habitats, and regular inspections and monitoring.

Jurisdiction and Local Involvement

The environmental licensing process is centralised at the national level. Decentralised local authorities provide consultative support and assist in local monitoring, but do not issue licences themselves.

Strength and Efficiency of Environmental Authorities

Cameroon’s legal framework provides a robust foundation, and MINEPDED possesses recognised technical competence. However, operational efficiency can be constrained by institutional and logistical limitations, particularly regarding ongoing monitoring and on-site enforcement. Despite these challenges, the system establishes clear obligations and procedures designed to ensure that mining projects operate in an environmentally responsible manner.

Cameroon hosts a variety of recognised protected areas, administered primarily by the Ministry of Forestry and Wildlife in collaboration with MINEPDED. These areas serve critical functions:

• preserving biodiversity;
• ensuring sustainable ecosystem management; and
• safeguarding endangered species,
• in accordance with the country's environmental and forestry laws.

The Mining Code explicitly integrates the protection of environmentally sensitive and protected areas. Indeed, mining operations are prohibited within 500 metres of the boundaries of a protected area.

In Cameroon, relations between mining operators and local communities are legally regulated under the “local content” provisions of the Mining Code, which form an integral part of all mining projects.

The principle is established in Article 121, which requires that any mining project include a local content component to ensure economic, social, cultural, industrial and technological benefits for Cameroon.

Article 122 further specifies that local content should cover:

• human resource development;
• support for local businesses and industries; and
• detailed arrangements included in the mining convention or terms of reference.

Local content must also include mandatory provisions for:

• employment and training of Cameroonian nationals;
• mechanisms for transfer of skills and technology;
• social protection measures and workplace standards; and
• social development initiatives for host communities and, where relevant, indigenous populations near mining sites.

To support these objectives, the Mining Code requires companies to contribute to a special fund for local capacity development (Article 123), ensuring financial resources are dedicated to community and economic development.

The Mining Code also establishes measures to strengthen socio-economic benefits for surrounding communities, as explained below.

• Employment priorities (Article 124) - at least 95 % of non-skilled jobs must be reserved for Cameroonians.
• Local procurement requirements (Article 125) - priority for Cameroonian companies in subcontracting.
• Skills and technology transfer (Article 126) - mining operators must implement structured programmes to transfer expertise to local employees and businesses.

Under the Mining Code, there is no explicit legal obligation to conduct prior and informed consultation with local communities before a mining title is granted or a project commences. Unlike in some other jurisdictions, the law does not establish a formal procedure for such consultation.

Although the Mining Code strongly emphasises community development and local content, engagement with local populations is considered part of the project’s social programme rather than a condition precedent to obtaining approval. Consequently, consultations may occur after the granting of the mining title and during the implementation of social and local development commitments.

Under the Mining Code, there is no recognition of specially protected communities, such as indigenous or traditional peoples, with a distinct legal status in the mining sector.

The Code provides that local content measures must, where relevant, take into account host communities and indigenous populations when defining social development and economic integration initiatives.

However, this provision does not grant any specific legal rights to these communities. It merely requires that mining projects consider their circumstances as part of social and local development plans, without establishing formal procedures or special protections.

In Cameroon, it is not legally required to conclude a separate community development agreement as an independent document.

Instead, the Mining Code requires that all measures for the development of local communities - including host and, where relevant, indigenous populations – be integrated directly into the mining agreement or terms of reference. These measures cover social development, local employment, skills transfer, and economic integration.

Mining companies are also required to contribute to a special fund for local capacity development, which finances social and economic initiatives benefiting the communities.

In practice, rather than standalone agreements, community development obligations are embedded and contractually binding within the main project documentation, ensuring that investors plan and implement social programmes as part of their formal commitments.

While the Mining Code does not explicitly use the term “ESG”, it incorporates principles covering environmental, social, and governance aspects.

• Environmental: mining activities must comply with environmental laws, conduct impact assessments, implement management and emergency plans, and ensure site rehabilitation. Companies are required to prevent risks, protect biodiversity, and manage waste responsibly.
• Social: projects must integrate local content, support the development of host and indigenous communities, prioritise local employment, provide training, and promote local enterprise. Companies also contribute to a fund dedicated to community development.
• Governance: transparency obligations cover payments, traceability of valuable minerals, and disclosure of shareholders and subcontractors. The State may hold equity in mining companies to maintain oversight of strategic resources.

In practice, the Mining Code embeds ESG principles into project approvals and contractual obligations, making them integral to all mining operations.

Illegal Mining

Illegal and informal mining is a significant issue in Cameroon. A substantial portion of small-scale and artisanal operations are carried out without valid authorisation, often outside the regulatory framework and without compliance with environmental, safety, or social obligations. Illegal activities have also been reported within the perimeters of valid industrial mining titles and, in some instances, in environmentally protected areas.

Impact on Legal Mining Activities

Illegal mining can:

• create conflicts and tensions between licensed operators and informal miners;
• disrupt lawful industrial activities and compromise site security;
• undermine regulatory oversight and tax revenues; and
• generate environmental degradation, including landscape disturbance, pollution risks, and biodiversity impacts.

While industrial operations continue to develop, illegal artisanal mining remains a structural constraint to orderly sector governance and to the smooth execution of licensed projects.

Regulatory and Enforcement Response

The authorities have strengthened monitoring and enforcement measures through multi-agency inspection missions, increased regulatory supervision, and initiatives aimed at improving compliance, rehabilitation obligations and the environmental and social performance of small-scale mining operators.

Overall, illegal mining remains a material challenge, but the State is actively working to enhance control, formalisation, and regulatory discipline in the sector.

Negative Example: Lomié Artisanal Gold Mining

In the Lomié Department, large-scale artisanal gold mining has caused severe environmental and social impacts. Key issues observed include:

• pollution – uncontrolled use of mercury and cyanide contaminated rivers, soils, and local biodiversity;
• land degradation – mining sites were not rehabilitated after exploitation, leading to erosion and long-term deterioration of agricultural land; and
• social consequences – local communities suffered from reduced access to clean water, adverse health effects, and loss of agricultural productivity, resulting in economic hardship.

This example highlights the consequences of insufficient environmental management and the absence of effective engagement with local communities.

Positive Example: “Opération Eaux Claires”

In contrast, the government-led initiative “Opération Eaux Claires” in the Eastern Region demonstrates coordinated action to address environmental and social impacts from illegal mining. Key features include:

• multi-agency coordination – the operation involved the Governor’s office and technical services working together to enforce regulations;
• environmental protection – illegal barges and equipment were seized and destroyed to prevent further river pollution; and
• community benefit – the initiative aimed to safeguard water sources and protect local populations from the adverse effects of uncontrolled mining.
• This case illustrates how government intervention, regulatory enforcement, and community protection measures can mitigate the negative impacts of mining activities.

Climate change–related initiatives are increasingly shaping mining activities in Cameroon. The Mining Code requires title holders to conduct operations in harmony with environmental protection, which includes measures that indirectly address climate-related risks. Mining operators are required to prevent geotechnical and environmental hazards, minimise discharges and waste, and protect biodiversity as well as the health of surrounding communities.

In addition, upon withdrawal or surrender of a mining title, operators remain bound by their environmental obligations, including site closure, dismantling of installations, and rehabilitation of affected areas. These requirements aim to reduce the environmental and climate footprint of extractive activities.

Overall, these obligations are pushing mining companies to integrate more sustainable practices and align their operations with broader environmental and climate policy objectives.

To date, Cameroon has not adopted climate change legislation specifically targeting the mining sector, nor is there any officially disclosed sector-specific draft climate law currently under discussion.

However, mining activities are indirectly influenced by Cameroon’s broader national climate framework. The country has ratified the United Nations Framework Convention on Climate Change and the Paris Agreement, and has committed to greenhouse gas reduction objectives through its Nationally Determined Contributions. It has also developed national climate policy instruments, including a National Climate Plan, and established institutional mechanisms, such as the National Observatory on Climate Change, to support monitoring, adaptation, and mitigation initiatives.

These instruments apply across all economic sectors and provide general guidance, but there is no mining-specific climate legislation at this stage.

Cameroon has implemented several initiatives aimed at integrating sustainable development principles into the extractive industry and broader economic planning.

Government Programme for Sustainable Mining (PRECASEM)

The government launched the PRECASEM programme to promote more responsible and sustainable mining practices. It focuses on:

• sustainable management of mineral resources;
• compliance with environmental and social standards;
• improved transparency and accountability in the sector; and
• better socio-economic outcomes for local communities.

This initiative seeks to align the mining sector with international best practice while reducing environmental damage and enhancing investor confidence.

“Green Mining Initiative” Under the ACP-EU Development Minerals Programme

Within the ACP-EU Development Minerals framework, Cameroon has promoted a “Green Mining Initiative” aimed at integrating environmental and social safeguards into mining activities, particularly in artisanal and small-scale operations. The programme emphasises climate resilience, ecosystem restoration, improved environmental governance and community-level engagement to mitigate negative impacts.

National Commitments to a Green Economy Transition

The country has committed substantial financial and policy resources toward transitioning to a greener economy. These efforts include forest protection, promotion of sustainable agriculture value chains, environmental resilience programmes, and support for community livelihoods, contributing to long-term national development objectives.

Natural Resource and Biodiversity Conservation Programmes

Cameroon, in partnership with international institutions such as the EU and FAO, is implementing programmes focused on sustainable wildlife and natural resource management. These initiatives aim to preserve ecosystems, strengthen regulation, and improve socio-economic benefits for local populations.

Community-Level and Civil Society Environmental Initiatives

A number of civil society organisations and local NGOs are also active in environmental education, water resource management, mangrove restoration, climate resilience projects and community capacity-building, contributing to broader sustainable development goals across the country.

Overall, while primarily policy-driven and often supported by international partnerships, these initiatives demonstrate a growing institutional effort to embed sustainability principles within Cameroon’s development and resource-extraction framework.

To date, Cameroon has not adopted any specific legislation exclusively targeting energy transition or critical minerals, such as lithium, cobalt, rare earth elements, or copper. However, the country is increasingly positioning itself within the regional and international conversation on the subject and has undertaken initiatives that indirectly support the development of this segment.

Policy Dialogue and Strategic Positioning

Cameroon has actively supported and hosted high-level mining and energy transition forums, including:

• the Cameroon International Mining Convention and Exhibition (CIMEC); and
• meetings of the OEACP Council of Ministers focusing on strategic minerals for the global energy transition.

These initiatives demonstrate the government’s intention to integrate Cameroon into regional and global strategies for critical minerals and to encourage investment and exploration in this emerging field.

Broader Energy Transition Policy Context

Although not explicitly dedicated to critical minerals, national policy initiatives linked to clean energy and extractive sector governance indirectly influence this area. According to the EITI Cameroon 2022 Report, the national energy transition agenda – including projects in hydropower and renewable energy – is prompting reflection on the future role of the mining sector and the potential development of minerals essential to green technologies.

In light of the above, Cameroon is currently in a strategic reflection and policy-shaping phase regarding energy-transition minerals. While it demonstrates institutional awareness and engagement at international and national policy levels, no dedicated legislative framework or targeted government programme specific to these minerals has yet been formally enacted.

The tax regime applicable to mineral exploration and mining activities in Cameroon is primarily governed by the Mining Code, supplemented by the general tax legislation. It relies on a combined system of taxes, duties, fees, and royalties applicable throughout the life cycle of a mining project (exploration, development and production).

Royalties and Basis of Assessment

Cameroon applies revenue-based rather than profit-based royalties. These include proportional mining royalties, such as ad valorem taxes on mineral substances and extraction taxes on quarry substances. They are calculated on the market value of the extracted minerals, generally determined with reference to international market prices. They are therefore clearly linked to gross revenue/turnover, not to profits.

Tax Neutrality Between National and Foreign Investors

The legislation does not establish a differentiated tax regime based on the investor’s nationality. The distinctions made by law relate to the type of activity or mining title, not to whether the operator is domestic or foreign.

In Cameroon, mining investors benefit from a series of tax incentives, particularly at the exploration stage, with additional advantages during production.

Exploration Phase Incentives

Holders of exploration permits benefit from measures aimed at reducing entry costs and encouraging investment at this high-risk phase, including:

• exemption from business licence tax;
• free registration of incorporation, extension and capital increase deeds, as well as transfers of undeveloped land; and
• VAT exemption on eligible local purchases and imports of mining equipment and materials directly related to exploration operations.

Exploitation Phase Incentives

During the production phase, operators are generally subject to ordinary tax law, but benefit from targeted incentives such as:

• deferred payment (over one year) of registration duties on incorporation, extension and capital increase deeds;
• accelerated depreciation for certain approved mining assets;
• extension of the tax-loss carry-forward period from four to five years;
• zero-rated VAT on exported mineral products where applicable; and
• exemption from stamp and registration duties for company acts until the first commercial production (excluding residential leases).

Tax Stabilisation

The Mining Code also provides for a tax stabilisation mechanism, usually formalised through a mining agreement. The State guarantees that the tax regime and advantages applicable at the time the mining title is granted remain stable for a defined period, and that new specific tax charges cannot be imposed during that stabilisation period.

From a tax perspective, the transfer or assignment of mining titles or mining projects in Cameroon generally triggers the payment of applicable registration duties and other fixed charges under the mining fiscal regime and the general tax legislation, subject to temporary exemptions that may apply at certain project phases.

Capital gains realised on the transfer of a mining project are not governed by a special mining-specific regime. They would instead fall under the ordinary corporate income tax rules applicable to gains realised on the disposal of assets or rights in Cameroon.

The Mining Code does not establish a distinct tax framework for indirect transfers occurring through offshore corporate structures. However, where such an offshore transaction results in: (i) a change of control of a company holding a mining title in Cameroon or (ii) the indirect transfer of an underlying mining right, the transaction may still be treated as a transfer of a mining title for legal and regulatory purposes. In practice, this means that it remains subject to (i) prior approval from the State and (ii) the applicable taxes, duties and statutory obligations in Cameroon, irrespective of where the transaction is legally structured.

Cameroon’s attractiveness for mining investment is primarily driven by:

• a modernised and more predictable legal framework, improving clarity, licensing procedures and overall investor confidence;
• a structured value-sharing regime with the State, providing visibility on fiscal and royalty obligations;
• institutionalised environmental and social requirements, aligning projects with international responsible-mining standards; and
• strong public policy direction of the sector, which contributes to stability, governance and long-term planning.

These combined features make Cameroon increasingly competitive and appealing to mining investors.

Cameroon does not operate a specific foreign investment approval regime other than that provided for by the CEMAC foreign exchange regulation. That said, the mining sector is subject to particular structural requirements applicable to foreign investors.

In practice, foreign individuals and foreign legal entities are not permitted to hold mining titles directly unless they operate through a company incorporated under Cameroonian law. As a result, foreign investors may engage only in artisanal mining activities or hold reconnaissance, exploration, small-scale mining, or industrial mining permits through a locally incorporated entity.

Cameroon is not a party to any treaty specifically dedicated to promoting and protecting mining investments. However, it has ratified several treaties that provide general protection for foreign investments, which also apply to the mining sector.

Multilateral Treaties

• Washington Convention (ICSID): enables foreign investors to submit disputes with the State to international arbitration, enhancing legal certainty and protection.
• Seoul Convention (MIGA): offers guarantees against non-commercial risks, such as expropriation, political unrest, or armed conflict, safeguarding investments in mining projects.

Bilateral Investment Treaties (BITs)

The BITs include protections such as fair and equitable treatment, security against expropriation, and the right to repatriate capital.

Examples include the Cameroon-Canada, Cameroon-Netherlands, Cameroon-Romania, and Cameroon-Mali BITs.

These multilateral and bilateral instruments collectively strengthen the legal security and predictability for foreign investors operating in Cameroon’s mining sector.

Mining activities in Cameroon are predominantly financed through:

• equity investments from foreign and private investors (especially at the exploration stage);
• debt and project finance for development and exploitation;
• strategic partnerships and offtake-based financing; and
• limited support from development finance institutions.

Public funding plays a marginal role, with the mining sector driven mainly by private and foreign capital.

Domestic Securities Markets

The domestic capital market in Cameroon, including the Douala Stock Exchange, plays a minimal role in financing mining and exploration projects. It is shallow, illiquid, and rarely used to finance exploration or mining projects, which mostly rely on private or shareholder funding.

International Securities Markets

Mining companies operating in Cameroon may access international capital markets to raise funds for exploration and development.

Regulatory Aspect

Even without local listings, parent companies abroad can raise capital for Cameroonian subsidiaries. There are no specific restrictions on using foreign markets, aside from CEMAC exchange control rules and standard reporting requirements.

In Cameroon, mining rights belong to the State and are granted through mining titles. Security over these titles is subject to strict oversight, and any encumbrance or transfer usually requires approval from the mining authorities.

Financing arrangements generally rely on security over operational assets such as plant, machinery, equipment, inventories, receivables, and bank accounts, rather than the mining titles themselves.

Under the OHADA framework, security interests must be registered with the commercial registry (RCCM) to be enforceable against third parties.

Lenders also ensure that operators have lawful access to the land where mining occurs, through ownership, lease, or other recognised land-use rights, as a condition precedent to financing.

Growing Economic Role and Sector Expansion

Cameroon aims to transform its mining sector into a key growth driver to diversify an economy heavily dependent on oil. The country plans to launch at least 15 mining projects by 2027, focusing on gold, iron ore and bauxite, which should gradually increase the sector’s contribution to GDP beyond 1%.

Major sites, including Mbalam (iron), Kribi-Lobé (iron), Minim-Martap (bauxite), and several gold projects, are in advanced development or pre-production. Over the next two years, mining operations are expected to intensify with initial export phases on several large projects, attracting increased foreign investment.

Legislative Reforms and Improved Legal Framework

The Mining Code adopted in December 2023 represents a major overhaul of the sector’s legal framework with significant implications for investors, including:

• mandatory state participation through SONAMINES;
• creation of development funds for geological mapping, environmental rehabilitation and local capacity building; and
• strengthened regulation of mining titles and classification of strategic resources.

This framework seeks to attract investors whilst enhancing oversight of operations and production-sharing arrangements between the state and operators.

Governance Structures and Taxation

A national panel for negotiating mining agreements has been established to ensure mining contracts comply with legislation and protect the country’s economic and social interests. Additionally, consultations are underway for fiscal reform that will define specific rates for iron, bauxite and oil exports in the 2026 finance law, encouraging local processing rather than raw exports.

The legislative trend points towards continued regulatory and fiscal adjustments to improve Cameroon’s competitiveness whilst strengthening transparency and public revenues.

Energy Transition and Green Minerals

Minerals for the transition

Whilst Cameroon is not yet a major producer of “critical” minerals (such as lithium, cobalt or rare earths) used in energy transition technologies, exploration reveals potential for diversified resources including gold, iron, bauxite and possibly other strategic minerals.

The 2022 EITI Report highlights the integration of energy transition into extractive policies, emphasising exploration of minerals used in green technologies alongside hydroelectric and solar projects that reduce dependence on fossil fuels.

International initiatives on responsible mining

Cameroon has been invited to join a Chinese-led green mining initiative as part of global discussions on green minerals. This could foster cooperation on mining projects aligned with carbon neutrality objectives and responsible extraction practices.

The energy perspective indicates that whilst the transition towards critical minerals remains emerging, there is movement towards responsible extraction, targeted exploration and integration of environmental sustainability into regulations.

Persistent structural challenges

Despite high potential, the sector still faces several constraints:

• insufficient energy supply for local mineral processing;
• limited transparency in permit allocation; and
• fiscal and institutional framework requiring further refinement.

These challenges may hinder industrialisation and the capacity to locally transform minerals intended for the energy transition.

Outlook for 2026-2027

With its GDP contribution growing, the mining sector is positioned to become a significant economic pillar in Cameroon. The new legislative framework (2023 Mining Code) and fiscal reforms promise to create a more attractive environment whilst protecting national resources. The energy transition is progressively influencing mining policies through the integration of sustainable practices and the preparation for the extraction of minerals needed for green technologies.

The overall trend points towards institutional strengthening, increased investor attractiveness, and the gradual integration of climate and technological considerations into national mining development.