Black Rhino Up for Auction - by Irene !Hoaës

Frm The New Era
April 23, 2009


WINDHOEK – Ministry of Environment and Tourism (MET) will raise close to N$50 million over the next three years through the sale of trophy hunting concessions.

The MET held an auction yesterday, offering a wide range of game through hunting concessions on State land outside registered communal conservancies.

For the first time, the endangered black rhinoceros is up for trophy hunting after the species’ successful recovery.

Only one post-reproductive (old) rhino per year is, however, allowed for the next three years, at localities that will be identified by the ministry.

Concessions that went under the hammer were the Mahango Game Park (part of Bwabwata National Park), Eastern Kavango, Western Kavango, Waterberg Plateau, Daan Viljoen & Von Bach Game parks and three black rhinoceros concessions at localities to be identified.

The highest concession, the Mahango National Park went for N$3.4 million, while the lowest was sold for N$160 000.

The highest black rhino concession was sold for N$1.7 million.

Different animals to be hunted range from elephants, buffaloes, hippopotamus, crocodiles, sables, roan, leopards, lechwe, kudus, blue wildebeest, impalas, duikers, giraffes, warthogs, burchell’s zebras, steenbok, oryx, spotted hyena, eland, white rhinoceros, hartman zebras and the common impala.

Interested companies had to submit valid original proof of registration issued by the Ministry of Trade and Industry as well as proof of registration with the Namibia Tourism Board and MET before any hunting can take place.

This time around, Black Economic Empowerment was also catered for, as all companies registered in Namibia were only eligible to bid at the auction if they had a minimum of 20 percent shareholding of previously disadvantaged Namibians.

No more than two concessions will be sold to the same company.

For the first year, the trophy hunting concessions will bring in N$13.7 million, while in the second year more than N$15 million is expected and in the third year, more than N$16.5 million is expected.

The auction was well attended.

What is included in the auction price for the concessions? Are quotas included or are these paid for separetely?

Who is responsible for anti-poaching, making roads, airstrips, block development in the concessions? What about community development? Does part of the concession fee go to local communities?

Karl S can you explain how it works over there? And how did these latest auctions compare with previous years in terms of bids?

Is there a list of which hunting companies got which concessions?

quote:

What is included in the auction price for the concessions? Are quotas included or are these paid for separetely?

Who is responsible for anti-poaching, making roads, airstrips, block development in the concessions? What about community development? Does part of the concession fee go to local communities?

Karl S can you explain how it works over there? And how did these latest auctions compare with previous years in terms of bids?

Bwanamich, the auction price did include the quota. It is a fixed quota only, in other words, what you do not shoot by the end of the hunting season, you still have to pay for. The outfitter buying it has the added responsibility of doing/ building all above himself. These areas are purely state areas, in other words, no community involvement. In joint ventures like the other 2 blocks in Bwabwhata, the community gets 50% and the state gets 50% of trophy fees paid. On a purely communal area, the money goes to the community. Any community area (even the joint ventures), the operator has to tender, as you also have to include a plan/ ideas and sponsorship for community projects, training, employment.

The prices where extremely high, and 404Jeffery's favourite outfitter got the crown jewel (IMO).

I will go on record today saying I expect some of these companies will fail to meet their financial responsibilites and will have to turn over their concessions. I can't see how some of them can make this work.

I can not believe the prices paid for some of these blocks. Even in a good economy they were high. The quota simply will not support the prices paid.

A few problems.

In typical African style, the areas are auctioned off and paid for in Namibian dollars. One must be fairly certain of the future exchange rates to gamble on the prices.

When exchange rates can flutuate 20% in a few months, how do you pin down your costs?

I can not see how anyone can resell these hunts ... even at the cost of obtaining the quota! The prices were ridiculously high.

This is going to be interesting.

quote:

I will go on record today saying I expect some of these companies will fail to meet their financial responsibilites and will have to turn over their concessions. I can't see how some of them can make this work.

I can not believe the prices paid for some of these blocks. Even in a good economy they were high. The quota simply will not support the prices paid.

A few problems.

In typical African style, the areas are auctioned off and paid for in Namibian dollars. One must be fairly certain of the future exchange rates to gamble on the prices.

When exchange rates can flutuate 20% in a few months, how do you pin down your costs?

I can not see how anyone can resell these hunts ... even at the cost of obtaining the quota! The prices were ridiculously high.

This is going to be interesting.

Wendell, I agree with you 110%. Another problem is the damn SA PH's coming here and @^%$King up the auction for all. The guy that bought the first block, is known for not paying anyways...

Hi Carl

Can you name the sa phs because i think its a bit harse.Im looking at a game ranch 40km outside windhoek one of the biggest.

So i feel us SA ph and outfitters are always doing the bad things or accused of that.

Best regards
Luan

quote:

So i feel us SA ph and outfitters are always doing the bad things or accused of that.

Not only in Namibia. Look at Zim, Zambia or Tanzania. What i know personaly.



KARL S wrote:

Wendell, I agree with you 110%. Another problem is the damn SA PH's coming here and @^%$King up the auction for all. The guy that bought the first block, is known for not paying anyways...

T.I.A

Seloushunter

Thanks for info Karl. Just os I understand:

Mahango Nat Park auction fee of N$3.4million includes all quota fees, no community development obligation, operator has to do roads and airstrips if necessary. Is this correct? Who is responsible for Anti-poaching in that area, MET or the operator?

Current exchange rate is approximately 8.95 N$ to 1 US$.

I guess it depends what they get in the quota.... think about what one black rhino will sell for??

Sure would be good to see a list of who bought what and what will be hunted on it ... dont suppose they have to divulge that though eh??

Well done to Namibia I say!!!... except for the BEE thing....

These prices paid for the concessions are ridiculous all what it lead to is unsustainable hunting to make some money and affecting conservation negatively. The problem is not just scrupulous outfitters but to a large extend a combination of corrupt, incompetent, ignorant and just plain stupid government officials!

We had 3 years ago 3 concession on tender in Mozambique one guy tendered for all 3 concession in the proposal he claimed he had 30 000 000.00US$ to invest! He got 2 of the concession awarded! This year the concession will come up again for tender because he never operated or paid any leases in the 3 years! Very long faces on the “local partners” in the first place the concession are not seen as worth to pay any leases because you have to build them up over at least 10 years before you can operate cost covering never mind all the other problems they have!

Luan

The problem is that you have so many SA PH’s so you also got more bad ones!
Percentage wise I don’t think the different is this big. Like in any section of life there no exclusive bad or good people.

mboga biga bwana

Add Mozambique to your list. We also got some of the less desirable from SA and Zim.

Cheers

quote:

Hi Carl

Can you name the sa phs because i think its a bit harse.Im looking at a game ranch 40km outside windhoek one of the biggest.

So i feel us SA ph and outfitters are always doing the bad things or accused of that.

Hi Luan

Nothing against you or SA PH's in general, I have very good friends from SA that send hunters to me regularly. I would refrain from naming people here, and have nothing against people willing to play by the rules. In fact, I am in the process of trying to buy land with a foreigner as partner as well, but the problem is with some of your country's outfitters coming here and paying people off to get things done/ hunt illigally/ buy concessions with a majority share holding outside the country, thus taking most of the earnings out of the country.

To those interested, here are the quotas as where sold by auction by the Ministry of Environment and Tourism of Namibia:

LOT 1
Mahango Game Park
Elephant 10
Buffalo 4
Hippo 2
Crocodile 1
Sable 2
Roan 2
Leopard 2
Lechwe 2
Burchell's zebra 2
Blue wildebeest 1
Kudu 4
Warthog 4
Giraffe 1
Duiker 1
Impala 3
Bought by Boet Nel Sfaris

LOT 2
Eastern Kavango Region
Elephant 8
Leopard 2
Roan 2
Spotted hyaena 2
Blue wildebeest 2
Duiker 2
Steenbok 2
Oryx 2
Bought by Marula Game Farm (If I remember correctly.)


LOT 3
Western Kavango & Mangetti
Elephant 4
Leopard 2
Spotted hyena 2
Eland 4
Duiker 2
Steenbok 2
(Cannot remember who bought it.)

LOT 4
Waterberg Plataue Park
Buffalo 5
Sable 2
Roan 2
Eland 6
Giraffe 2
White Rhinoceros 1
(Jofie Lamprecht)

LOT 5
Daan Viljoen/ Von Bach
Hartmann Zebra 10
Blue wildebeest 5
Oryx 6
Kudu 4
Common impala 2
Eland 2
(Company that no one knows)

LOT 6-8
Black Rhino bulls
First bought by a foreign national & black Namibian partner
Second bought by Peter Thormalen
Third bought by Conre Kruger, who I understand is also involved with Thormalen.

Karl,

Are you able to post what these particular blocks went for?

thanks

interested, if I bought a concession, I would not have liked it if someone else blasted that kind of info on an open website (even though the auction was open to outsiders), so would refrain from doing it myself.

I'd like to have bought 4, if it sold anywhere near the bottom end (which I realize as a US citizen I can't, just saying I would have bought it if were possible).

I'm not clear on the details, is this a yearly fee as is seems to be, if so, what does one pay for the second and third years, or are the prices paid for 3 years use of the concession? Same goes for the quotas......are those animal numbers per year or for the 3 years?

Carl

Hi everyone it wasnt a personal thing to outfitters outside of south africa.

Its just im proud sa boy with a few hunting experience i have a place in guinjata bay mozambque and in swakopmund.

Carl i hunt alot in namibia i love namibia and if there is any interest i will love to send people your way its just i would love to hear sa guys name thats doing things wrongly because thats the guys we as outfitters in sa want to know about.We struggle here with prices against the same guys.

Thanks everyone for replying.

Luan

Can anyone shed some more light on the Lechwe and Roan populations in Namibia? Reading through the approved quota, I noticed that several of these concessions list Roan and one has Lechwe. Are these species naturally occuring/endemic or introduced? Have seen a few game ranches there offer Roan but have never seen Lechwe in Namibia.

pinotguy, letchwe occurs naturally in the Caprivi, so do sitatunga actually(though in very low numbers). Roan occurs naturally throughout the North Eastren areas, which includes the Caprivi, Bushmanland and most of Kavango.

Wow,
That means that if Mahango was your only concession you would need to break US$ 485 000 to cover purchase costs. I am not an outfitter so cant speak to the marginal costing but it seems that your marginal rates would need to be quite high for that quota to cover costs (especilly given interest, added marginal operating costs etc as it doubtful it was bought cash!).

Risky investment?

Posted by africanpress on April 25, 2009



Windhoek (Namibia) - The life of a black rhino yesterday earned the State N$1,7 million at an auction of trophy-hunting concessions on State land that lasted less than half an hour.

This hunting concession was bought by a foreign concessionaire, Imbu Wildlife Promotions, which has a Namibian partner, a certain Mr Amweelo, said the Deputy Director of Parks and Wildlife Management, Ben Beytell. Beytell said Amweelo is a Namibian professional hunter.
Two other hunting concessions for one black rhino each sold for N$1,5 million and one was bought by Thormahlen and Cochran Safaris, a company operating in Namibia and South Africa.
The total amount of money generated by the auction was N$13,6 million and concessions were sold for three years, starting from this year. Eight hunting concessions were up for grabs, including the aforementioned three.
The areas where the rhinos will be hunted will still be identified by the Ministry of Environment and Tourism, Beytell said.
He said only one black rhino a year will be hunted.
The other five concessions contained a number of different animals. A concession in the Mahango Game Park (part of the Bwabwata National Park), containing 41 animals, including 10 elephants and four buffaloes, was auctioned at N$3,4 million.
A hunting concession in eastern Kavango, containing 22 animals including eight elephants, went for N$2,1 million.
Another concession in western Kavango and the Mangetti National Park, fetched N$750 000. It contains 16 animals, including four elephants.
A hunting concession in the Waterberg Plateau Park, for 18 animals including five buffaloes, was auctioned at N$2,5 million.
A hunting concession in the Daan Viljoen and Von Bach Game parks, with a total of 29 animals, including 10 elephants, sold for N$160 000.

“We are happy with the outcome, the Permanent Secretary in the Ministry of Environment and Tourism, Dr Kalumbi Shangula, told The Namibian late yesterday.
He said this was the first Ministry auction generating such a huge amount of money.
Beytell said all the successful bidders met the Ministry’s requirements, one of which is that they must have a minimum 20 per cent shareholding by previously disadvantaged Namibians.
Concessionaires are also required to submit proof of registration with the Namibia Tourism Board and the Ministry before any hunting can take place.
The State land on which these hunting concessions were given are outside registered communal conservancies.
Shangula said the money generated from the auction will be put into the Ministry’s Game Products Trust Fund, which funds conservation work in Namibia.
The trophy-hunting season runs from February 1 to November 30.



source.The Namibian (Namibia)

quote:

A hunting concession in the Daan Viljoen and Von Bach Game parks, with a total of 29 animals, including 10 elephants, sold for N$160 000.

that would ahve been cheap...! Unfortunately there are no elephants in these 2 game parks. It should read "including 10 Hartmann Zebras".