Environmental Scoping Assessment (ESA) Report for the Proposed Exploration and Mining of Dimension Stone on Mining Claims 71609 – 71617 in the Erongo Region MEFT Application No.: 001763 Document Version: Final Proponent: Okonde Mining and Exploration CC Date: 23 November 2020 Environmental Scoping Assessment Report: Exploration and Mining Activities on Mining Claims 71609-71617 EXECUTIVE SUMMARY Okonde Mining and Exploration CC (hereinafter referred to as Okonde Mining and Exploration or the Proponent) with the assistance of their technical and financial partner, Best Cheer Investments Namibia (Pty) Ltd intends to undertake exploration and subsequent mining activities on their nine mining claims (MCs) northeast of Arandis Town in the Erongo Region (the project). The mining claims are 71609, 71610, 71611, 71612, 71613, 71614, 71615, 71616 and 71617. Although these MCs are in the same area, they are grouped into two sites (clusters). The two groups that are about 6 km apart comprise of MCs 71609, 71610, 71611, 71612, 71613 & 71614 (southern cluster about 38 km out of Arandis) and then MCs 71615, 71616 & 71617 (northern cluster, 45 km outside Arandis). The total (combined) surface area of the nine mining claims is 140 hectares (ha). The proposed exploration and mining are however among the listed activities in the Environmental Management Act (EMA) No. 7 of 2007 and its 2012 Environmental Impact Assessment (EIA) Regulations that may not be undertaken without getting the environmental clearance certificate (ECC). Consequently, Okonde Mining and Exploration CC appointed OMAVI Geotechnical & Geo-Environmental Consultants CC (hereinafter referred to as OMAVI Consultants) to undertake the required EIA / Environmental Scoping Assessment process and apply for the project ECC. It is for this reason, that this Environmental Scoping Assessment (ESA) Report was compiled. The Report contains all the information that was gathered from the environmental assessment process. The information contained herein include the description of the proposed project activities and alternatives, legal requirements, the pre-project environmental conditions, public consultation means, identified potential impacts, their assessment and provision of the necessary practical measures to manage avoid and or minimize each impact’ significance. Public consultation and Impact (Key issues Raised) First Round of Public Consultation (issues and concerns to the proposed project): Feedback The first round of public consultation took place from the 17th of June to the 25th of July 2020. The main issues (negative impacts) that were raised during the first round of public consultation and as pre-identified by the Consultants are as follows: • Physical disturbance of soils and land surface due to exploration and mining activities. i Environmental Scoping Assessment Report: Exploration and Mining Activities on Mining Claims 71609-71617 • Soil and groundwater pollution from potential project waste. • Impact on air quality (dust generation). • Impacts on general roads/vehicular traffic (linked to the project activities). • Impact on water quantity/aquifers (water demand and availability). • Impacts on biodiversity (fauna and flora) to enable project activities and firewood for exploration camps. • Potential increase in noise level from project activities. • Impact on aesthetics (visual impact). • Impact on archaeological or cultural heritage through uncovering and damaging of archaeological objects or sites from unintentional project activities such as drilling and excavation on selected explored and mined sites of the mining claims. • An issue of site rehabilitation during and or after exploration and mining activities have ceased. Other impacts identified by the OMAVI Consultants based on experience similar projects. • Lack of proper liaison between project Proponent and farmers or occupiers of land. • Impact on farm and surrounding services infrastructure such as roads, water, fences and gates, potential water pipelines damage by heavy trucks. The positive impacts anticipated from the project are as listed below: • Socio-economic development through employment creation and skills transfer • Improved geological understanding of the site, regarding dimension stone (dolerite) • Investment opportunities into the area due to the global sought-after commodity such as the explored and mined dimension stone (dolerite). • Contribution towards national economy through the payment of taxes and royalties to the responsible institutions of the Government of the Republic of Namibia. Second Round of Public Consultation (comments to the Draft ESA Report/Review): Feedback ii Environmental Scoping Assessment Report: Exploration and Mining Activities on Mining Claims 71609-71617 The draft ESA Report with all its appendices was circulated to all registered I&APs for review and comments for a period of eleven (11) days, i.e. from 17 August 2020 to 27 August 2020. The Report circulation to all registered I&APs was done via emails, for those with access to email addresses and a hard copy for those without email access. Feedback on the draft ESA Report review was received from two I&APs. A nine (9) page document containing thirty-five (35) comments (excluding the first two acknowledgment points) received from one I&AP and a letter with comments from the National Heritage Council of Namibia (NHC) – Appendix H. These comments have been recorded as received under Appendix I. The responses to these comments by OMAVI Consultants are also part of the Appendix I. Recommendations and Conclusions The aim of this environmental scoping assessment was to identify the potential impacts associated with the proposed exploration and mining activities on the nine mining claims, assess and recommend practical mitigation measures. The public was consulted as required by the EMA and its 2012 EIA Regulations (Section 21 to 24). The public was informed via the newspapers used for this assessment; site/public notices placed in the project site area, relevant local and regional offices notice boards. A one-on-one interaction (public meeting) was held with the public and a virtual meeting done with the national authorities. The interested and affected parties raised their comments and concerns on the proposed project activities. The concerns and comments received from the public and the local community members formed the basis for this report as well as the Draft EMP. The conclusions reached and recommendations provided are presented below. Recommendations It is therefore recommended that an Environmental Clearance Certificate be issued for the proposed exploration and mining activities on mining claims 71609-71617, subject to the following recommendations: iii Environmental Scoping Assessment Report: Exploration and Mining Activities on Mining Claims 71609-71617 • All required permits, licenses and approvals for the proposed activities should be obtained as required (please refer to the Permitting and Licensing Table in the Environmental Management Plan (Appendix A). These include permits and licenses for borehole drilling on farms, water abstraction & use permits, land/farm access agreements to explore and mine, etc. as well as ensuring compliance with these specific legal requirements. • The Proponent complies with the legal requirements governing this type of project and its associated activities. • All mitigations provided in this ESA Report and the management action plans in the EMP should be implemented and monitoring conducted as recommended. • All the necessary environmental and social (occupational health and safety) precautions provided should be adhered to. • Site areas where exploration and mining activities have ceased should be rehabilitated, as far as practicable, to their original state. • The monitoring of the implementation of mitigation measures should be conducted, applicable impact’s actions taken, reporting done and recorded as recommended in the Draft EMP. Conclusions The potential (positive and negative) impacts stemming from the proposed exploration and mining activities were identified. The two impacts types were described, assessed and mitigation measures where provide (where necessary). As main potential impacts of concern, the negative impacts were carefully described, assessed, and mitigation measures provided thereof to avoid and/or minimize their significance on the environment. These impacts were found to be of medium significance. The effective implementation of the recommended management actions (mitigation measures) will see the significance reduction in impacts (that cannot be avoided) from medium to low rating. Furthermore, to maintain the low rating, monitoring of the potential impacts by the Proponent (an Environmental Control Officer (ECO)) is highly recommended. Monitoring will not only be carried out to maintain the low rating of impacts' significance but to also ensure that all potential impacts identified in this study and other (new potential) impacts that might arise during project implementation are well identified in time, properly addressed and that suitable and adequate mitigation measures are provided and implemented. iv Environmental Scoping Assessment Report: Exploration and Mining Activities on Mining Claims 71609-71617 Apart from the project information provided by the Proponent, the findings of the impact assessment conducted, i.e., concerns and comments received from the public, particularly the affected farm owners and neighboring property/farm owners also