Stewart R. Wallace — 1919–2009 - Society of Economic Geologists

JULY 2009 No 78 SEG NEWSLETTER 35
AFRICA
Regional Vice President Africa
Paul Nex (SEG 2005)
Umbono Financial Services
pnex@umbono.co.za
and
Judith Kinnaird (SEG 2002 F)
School of Geosciences
University of the Witwatersrand, South Africa
Email: Judith.kinnaird@wits.ac.za
It is difficult to cover all 53 African
countries on a regular basis and in the
last SEG Newsletter a number of countries
not normally featured were given a
brief mention. In this issue, other countries
not normally included because of
their small mineral sector have a brief
summary. The current financial and
economic crisis has adversely impacted
on the economic growth of African
economies, which averaged >5% pa
over the past five years but is expected
to decline to ~2.8% in 2009. The effects
have been felt in many countries, with
closures of mines resulting in huge job
losses. There are some suggestions that
the recession in mining may have
turned the corner, and diamond sales
are reportedly up. Some mines in
Botswana have cautiously resumed
operations and in Sierra Leone diamond
operations are rehiring workers
as the market improves.
ANGOLA
Oil accounts for ~90% of exports. Gov -
ernment is seeking to develop mining
and suggested it might buy diamonds
to help industry through the current difficulties.
Official production is 7 mcts
but a plethora of illegal artisanal diggers
are also active. Government is keen to
contribute to the upgrading of SEAMIC
(Southern and Eastern Africa Mineral
Investigation Center) into an institution
for Africa’s development. Angola joined
SEAMIC in 1985; other members are
Commoros, Ethiopia, Kenya, Mozam -
bique, Tanzania, and Uganda.
BOTSWANA
Tawana Resources will look for JV
partners to participate in its Orapa
diamond project.
BURKINA FASO
The cotton-dependent west African economy
aims to become a regional mining
EXPLORATION REVIEWS
Notice: Views expressed in the Exploration Reviews do not necessarily reflect those of the Society of Economic
Geologists, Inc., and columnists are solely responsible for ascertaining that information in this section is correct.
center and the continent’s no. 4 gold
producer in the next three years. Cluff
Gold expects that its Kalsaka mine will
be fully commissioned by midyear.
BURUNDI
Burundi has considerable mineral
potential, especially for lateritic-nickel
deposits. Other mineral prospects
include phosphate at Matongo and
vanadium at Mukanda, and there is
also potential for gold and tin deposits.
CAMEROON
Natural resources are limited, with production
of petroleum products, artisanal
gold, diamonds, salt, and building
materials. Alucam is the largest
company, smelting and exporting aluminium
from bauxite imported from
Guinea. The government has given the
go-ahead for the development of a new
US$ 160M export terminal to serve an
emerging iron ore province that extends
into Congo and Gabon.
CENTRAL AFRICAN REPUBLIC
The country produces ~500,000 ct/y of
alluvial diamonds, almost entirely from
~80,000 artisanal workers but Pangea
Diamond Fields operates the small
Dimbi mine.
CHAD
The mining sector is poorly developed
with some small-scale alluvial gold production
and occasional artisanal diamonds,
especially from Baibokoum
and Guera.
CONGO (REPUBLIC OF)
Although petroleum production is
declining, oil remains dominant, representing
about 50% of GDP and 66% of
government revenue. Other mineral
resources of base metals, gold, iron, and
phosphate have been poorly explored.
The country’s main mining project is
the Mag Industries integrated 580,000
t/y potash plant and 72,000 t/y magnesium
smelter at Pointe Noire.
CÔTE D’IVOIRE
The county has important Archean and
early Proterozoic occurrences of gold, diamonds,
iron ore, nickel, cobalt, copper,
manganese, and bauxite. Since a new
mining investment code in 1995, gold
has been the most popular exploration
target. Cluff Gold expects to produce
from its Angovia mine in 2009.
DJIBOUTI
Djibouti has few natural resources and
little industry.
DRC
Mineral output and revenue has
dropped. Mining contracts are under
review and government has sought to
apply its new mining code to all existing
licenses and to redress illegal agreements
inherited from the 1997–2001
civil war. Plans involve taking 15%
interest in all future mining discoveries
(including extensions to existing
reserves) and listing state-owned companies
such as Gécamines and Okomo.
Reports also suggest that government is
seeking to increase its stake in the massive
Tenke Fungurume copper-gold
project. Government might also introduce
a “use it or lose it” principle for
future mining contracts as part of an
effort to unlock the country’s mineral
resources. Katanga Mining has
reported a net loss of $52 million for the
first quarter of this year and investors
are wary because of the uncertainty
around the mining contract review.
EGYPT
Mineral resources include asbestos,
gold, iron ore, lead, manganese, phosphates,
uranium, zinc, oil, and gas
although oil production has fallen.
Centamin has been exploring for gold
at the Sukari Hill gold project near
Marsa Alam on the Red Sea coast.
Production is expected in the second
quarter of 2009 at an initial rate of
200,000 oz a year.
EQUATORIAL GUINEA
The country has experienced rapid economic
growth due to the discovery of
large offshore oil reserves.
ERITREA
Eritrea’s incipient mining sector is based
on the potential for significant potential
of greenstone shear-hosted gold and
volcanic-hosted massive zinc and copper
sulfide deposits in late Proterozoic
volcanic arc terranes, especially around
Asmara and in the western district. In
2008, government
to page
awarded a mining
36 ...
EXPLORATION REVIEWS