In Cameroon, natural resources such as petroleum, gas, diamonds, gold, bauxite, iron ore, cobalt, nickel, uranium, limestone, manganese, rutile, etc., abound. Between 2009 and 2010 mining activities generated more than 1134 Billion Franc CFA for the Cameroonian Treasury alone. Only 40% of Cameroon’s sub soil has been explored. The mining sector is a highly regulated sector and persons wishing to exploit any of these resources must first obtain permits. As of 2016, some one hundred and fifty (150) exploration Permits had been granted. The principal legal instrument that regulates the mining sector is Law no 2016/017 of December 14, 2016 instituting the Mining Code and repealing the 2001 Mining Code which had been amended in 2010. It should be noted that there are separate laws which regulate mining, on the one hand, and oil & gas, on the other hand.
As far as industrial and non-industrial mining activities are concerned, Dayspring Law Firm provides comprehensive legal services relating to the financing and development of mining projects through the reconnaissance (prospection), exploration, extraction, phases, as well as the transportation, and sale of minerals. Our lawyers assist clients with the drafting of mining documents and the negotiation of numerous mining transactions including the acquisition and disposition of mine properties, royalty agreements, PPP financing, land acquisition & expropriation, joint ventures & mining leases, environmental law compliance, etc.
We cover every aspect from due diligence, to document creation and review, structuring appropriate corporate vehicles, multinational asset sale and purchase, asset verification, other corporate opinions, and general corporate advice and facilitating the mining permit application process across the three phases (reconnaissance or prospection, exploration and mining operations proper). We also advise clients on tax law in the sector as well as on private investment incentives and on the framework for production-sharing contracts between the state and mining companies.
Oil & Gas Law
Oil & gas activities intersect with several areas of law among which are business law, environmental law, customs law, public health, safety & sanitation law, water law, waste management law, shipping law, land law, private investment incentives law, commercial law, currency exchange control laws, international trade law, foreign exchange law, tax law, employment law, standards and internationally recognized practices and the specific sectoral legislation on oil and gas itself, which is Law no 99/013 of December 22, 1999 relating to the Petroleum Code and its implementing instrument Decree no 2000/465 of June 30, 2000.
The specific sectoral laws regulate four phases with specific permits at each level: prospection, exploration, provisional and final exploitation. Investors should also bear in mind that, as in the mining sector, there is a requirement to enter into a production-sharing agreement/contract with the state and entering into a concession contract with the state and service contracts.
Our oil & gas practice is constantly adjusting to the trends that are shaping the oil & gas industry, as such we are able to provide legal advisory services on all aspects of the oil & gas supply chain, upstream, midstream, downstream and LNG, including structuring of oil & gas operations, including joint ventures and other commercial arrangements. We provide guidance to actors both in the private and public sectors for oil & gas transactions and accompany companies in addressing the day to day issues throughout the entire life cycle of oil and gas investments. We provide high level legal advisory services in oil & gas project development and financing, and help our clients address structural & regulatory difficulties in the industry from inception down to decommissioning. We help our clients navigate the legal framework and stay compliant.
Power & Renewable Energy Law
The hydroelectric and renewable energy (wind & solar, etc.) sectors in Cameroon are, according to certain experts, fledgling although the State is making a lot of efforts and the sector holds a lot of promises in view of the country’s potential. The electrical sector is regulated by a 2011 law which touches on water storage for generation of hydroelectricity (hydro-dams), production, transportation, importation, distribution, exportation, and sale of electrical energy. The text also regulates competition in the electricity sector as well as rules on environmental protection in relation to electricity activities and consumer protection laws in the sector. Pursuant to the 2011 law regulating the hydroelectrical sector, commercial activities can be carried out under one (01) of five (05) main legal regimes, including, concession, license, authorisation, declaration (notification), and freely.
The abovementioned law provides a framework for rural electrification & renewable energy (solar, thermal, and photovoltaic energy, aeolian energy, -5MW hydraulic energy, biomass, geothermal energy, and marine energy). Implementing texts regulate the conditions, modalities, and mechanisms of R & D, local production of equipment and renewable energy project finance, which benefits from tax and customs incentives.
Dayspring Law Firm provides legal services that help actors to comply and adapt to the dynamic regulatory environment. Our services cut across environment, finance, corporate law, construction law, insurance law, technology & IP law, transport law, dispute resolution, international trade law, water law, tax, private investment incentives, project development, project finance, project acquisition and dispositions, joint ventures, drafting and negotiating credit agreements & commercial energy finance transactions and other energy-related transactions, etc. We also assist players to process applications for energy operational permits.