Mineral Processing, Smelter & Refinery Licenses in Tanzania (2026 Guide): Requirements, Costs & Investment Opportunities

Tanzania Mineral Processing Licenses: Gold Beneficiation Plants, Copper Smelters & Refineries Explained

Learn how to obtain mineral processing, beneficiation, smelter, and refinery licenses in Tanzania. Explore requirements, costs, incentives, and investment opportunities for gold and copper processing plants.

1. Introduction: Why Tanzania is pushing beneficiation

2. What is mineral processing & beneficiation

3. Types of plants: processing, smelters, refineries

4. Licensing requirements (step-by-step)

5. Capital & cost considerations

6. Incentives & policy support

7. Gold vs Copper processing models

8. Investor structuring & compliance

9. Common mistakes & regulatory risks

10. How Zatra assists investors

Introduction: Why Mineral Beneficiation Matters in Tanzania

Tanzania has entered a new phase of mining sector reform, shifting from raw mineral exports toward local processing, smelting, and refining. This policy direction is anchored in the Mining Act, the Mining (Local Content) Regulations, and the Mineral Beneficiation Framework, all aimed at maximizing value addition, employment, and capital retention.

For investors, this creates significant opportunities in:

• Gold processing plants

• Copper concentrate processing

• Smelters and refineries

• Mineral beneficiation facilities

However, these opportunities are highly regulated, and success depends on proper licensing, structuring, and compliance. This guide explains how to legally set up and license mineral processing, smelting, and refinery plants in Tanzania, including requirements, costs, incentives, and investor considerations.

What Is Mineral Processing, Smelting & Refining?

1. Mineral Processing / Beneficiation Plants

These facilities upgrade raw ore into concentrates or semi-finished products, such as:

• Gold concentrate

• Copper concentrate

• Gravity or flotation outputs

Beneficiation increases mineral value before export or further processing.

2. Smelters

Smelters extract metal from concentrates using heat and chemical processes, producing:

• Copper blister

• Doré bars

• Intermediate metal products

3. Refineries

Refineries produce high-purity final metals, such as:

• Gold (99.5%–99.99%)

• Copper cathodes (99.99%)

Refineries attract the highest regulatory scrutiny but also the highest margins.

Legal Framework Governing Mineral Processing in Tanzania

Mineral processing and beneficiation are regulated under:

• The Mining Act, Cap. 123

• Mining (Local Content) Regulations, 2018 (as amended)

• Mining (Mineral Beneficiation) Regulations

• Environmental Management Act

• Regulations of the Minerals Commission

All processing, smelting, or refining activities require prior licensing and approval from the Minerals Commission of Tanzania.

Types of Licenses Required

1. Mineral Processing License

Required for:

• Beneficiation plants

• Concentration facilities

• Washing, gravity, flotation, or chemical processing

Issued by the Mining Commission.

2. Smelting License

Required for:

• Copper smelters

• Gold smelting operations

• Thermal and chemical extraction facilities

Subject to technical feasibility and environmental approval.

3. Refining License

Required for:

• Gold refineries

• Copper cathode refineries

Refineries must meet:

• International purity standards

• AML/KYC traceability

• Export control requirements

Key Licensing Requirements (Step-by-Step)

To obtain a mineral processing, smelting, or refinery license, investors must submit:

1. Corporate & Ownership Documents

• Registered Tanzanian company

• Shareholding structure (local content compliant)

• Directors and beneficial ownership disclosures

2. Technical Documentation

• Detailed plant design and process flow

• Equipment specifications

• Capacity (TPD / TPA)

• Technology description

3. Feasibility Study & Business Plan

• Capital expenditure (CAPEX)

• Operating costs (OPEX)

• Source of minerals

• Financial projections

• Economic benefits to Tanzania

4. Environmental & Social Approvals

• Environmental Impact Assessment (EIA)

• Waste and tailings management plan

• Health & safety systems

5. Local Content Plan

• Tanzanian employment plan

• Procurement strategy

• Skills transfer framework

Cost of Setting Up Processing Plants in Tanzania (Indicative)

Facility Type	Estimated Investment Range
Small gold processing plant	USD 500,000 – 2 million
Medium beneficiation plant	USD 1 – 10 million
Copper smelter	USD 20 – 150 million
Gold refinery	USD 5 – 50 million

⚠️ Actual costs vary based on capacity, technology, location, and compliance requirements.

Government Incentives for Beneficiation & Refining

The Tanzanian government actively encourages local processing through:

• Import duty relief on capital equipment

• Strategic land allocation (e.g., former Buzwagi mine site)

• Faster regulatory approvals for beneficiation projects

• Policy support under local content and industrialization programs

Investors who align with national beneficiation goals receive strong regulatory goodwill.

Gold vs Copper Processing: Investment Comparison

Aspect	Gold	Copper
Capital intensity	Medium	High
Market liquidity	Very high	High
Export demand	Strong	Very strong
Regulatory scrutiny	High	Very high
Value addition impact	High	Very high

Gold offers faster entry, while copper offers long-term industrial scale returns.

Common Regulatory Mistakes to Avoid

• Operating processing plants without licenses

• Understating foreign ownership or control

• Weak feasibility studies

• Non-compliant environmental systems

• Poor mineral traceability (AML risk)

These errors often lead to license rejection or suspension.

Tanzania’s Beneficiation Window Is Open — But Regulated

Tanzania is no longer a raw-mineral-export economy.The future belongs to processing, smelting, and refining investors who understand the rules and structure correctly.

Mineral beneficiation offers:

• Higher margins

• Policy support

• Long-term industrial relevance

But only for investors who approach it professionally and compliantly.

🔹 What Is a Mineral Processing License in Tanzania?

A mineral processing license in Tanzania is a permit issued by the Minerals Commission that authorizes a company to beneficiate minerals by crushing, washing, gravity separation, flotation, or chemical processing before export or further smelting.The license is mandatory under the Mining Act and applies to gold, copper, and other metallic minerals.

🔹 What Is Mineral Beneficiation in Tanzania?

Mineral beneficiation in Tanzania refers to the value-addition process that upgrades raw mineral ore into concentrates, semi-processed, or refined products before export.The government promotes beneficiation to increase local employment, industrialization, and foreign exchange retention.

🔹 Difference Between Processing Plant, Smelter, and Refinery

Facility	Purpose
Processing / Beneficiation Plant	Upgrades raw ore into mineral concentrate
Smelter	Extracts metal from concentrate using heat
Refinery	Produces high-purity metals (99.5%–99.99%)

🔹 Who Issues Mineral Processing, Smelter, and Refinery Licenses in Tanzania?

All mineral processing, smelting, and refining licenses in Tanzania are issued by the Minerals Commission under the Ministry of Minerals, subject to technical, environmental, and local content compliance.

🔹 Step-by-Step: How to Get a Mineral Processing License in Tanzania

1. Register a compliant Tanzanian company

2. Prepare a feasibility study and plant design

3. Conduct Environmental Impact Assessment (EIA)

4. Submit local content and employment plans

5. Apply to the Minerals Commission

6. Obtain approval and operational clearance

🔹 How Much Does It Cost to Set Up a Mineral Processing Plant in Tanzania?

The cost of setting up a mineral processing plant in Tanzania ranges from USD 500,000 for small gold plants to over USD 150 million for large copper smelters, depending on capacity, technology, location, and compliance requirements.

🔹 Is Mineral Beneficiation Mandatory in Tanzania?

Mineral beneficiation is not universally mandatory, but the Tanzanian government strongly prioritizes and incentivizes local processing over raw mineral exports, especially for gold and copper.Some minerals may face export restrictions without local value addition.

🔒 Request Private Investor Brief

Submissions are reviewed for regulatory and investment alignment.Approved applicants are contacted directly.

About Zatra Consultants

How Zatra Assists Investors (Strategic Advantage)

Zatra supports investors through:

• License acquisition & regulatory approvals

• Local content–compliant structuring

• Feasibility studies & financial models

• Partner identification & due diligence

• Investor protection & risk mitigation

• Government and Minerals Commission engagement

Zatra ensures projects are bankable, compliant, and scalable.

📍 Dar es Salaam, Tanzania

🌐 www.zatra.co

📧 sales@zatra.co