Page 24 - Forbes - Africa (March 2020)
P. 24
FORBES AFRICA
FOCUS • MINING
problem,”saysBaxter.“Whatwewanttoseeisaction,action,
action.”
Inreply,miningministerGwedeMantashesaid:“Wewill
workwiththeminingcompaniestohelpthemcompletethe
paperworksotheycangeneratetheirownelectricity,butwe
won’tallowafreeforall.”
Mantashealsoannouncedthatthegovernmentwaslooking
atcreatingapublic-privateelectricitygenerationcompany.
“Ifwecanincreasecompetition,itwillpullthepriceof
electricitydown,”hetoldapressconference.
TheanalystsbelievethequestforgoldismovingtoWest
Africa.AgrowingnumberofprojectsinWestAfricaare
poisedtoprofitfromgrowinggolddemandandacompetitive
advantageoverthemoreestablished,yetdeep,difficultand If you look at a cell phone battery, it can
narrowgoldseamsinthesouth. retail for a thousand dollars, while the
Bycontrast,WestAfricandepositsareshallow,easytogetto
andlargelyunder-exploited;theyarealsocheaper,lessriskyand raw materials can cost cents. That is how
easytoscaleup. much money can be made in the battery
Itisasignofthetimesthatthewinneroftheinvestment
battlefieldcontest–wherepeopleputtheirminingprojectsfor business and Africa needs to get into it.
intensescrutinybyapanelofexperts–wasa2.2millionozopen – Benedikt Sobotka, head of the
castgoldprojectinCoteD’Ivoirethathopestobe3millionoz Global Battery Alliance
beforetheendoftheyear.
TheMiningIndabaorganizerswenttotownthisyearwith
theinvestmentbattlefieldandputboxingringropesaroundthe Mojapelo.WhentheteenageMojapelousedtotakeataxifrom
stageandkittedoutthecontenderswithboxinggloves.Inreal histownshiptothenearbysmalltownofKwekwe,inZimbabwe,
life,whenitcomestogoldinWestAfrica,investorsshouldn’t heusedtomarvelatthehuge,imposing,chromerefineriesthat
worryaboutbeingknockedoutbecausetherefereeisintheir loomedlargebytheroadside.Heneverdreamedthatonedayhe
corner. wouldbeaminingbosspoisedtotakeover10%ofsupplyofone
Outofthegoldcorner,bothGhanaandNigeriaareworking oftheplanet’smostsought-afterminerals–vanadium.
ontheirminingcodestoeasethecostofdoingbusinessto Mojapelo,whostudiedactuarialscienceattheUniversity
encouragemorecapital. ofCapeTown,spentafewyearsasamanagementconsultant
Nigeria,inparticular,hashighhopesforgoldastheoilprice beforeapplyinghisskillstoaconsortiumseekingmineralrights
continuestodip,eventhoughitsminingisinitsinfancyandthe inSouthAfrica.Byhisearly30s,Mojapelowasafounderof
entireeconomystrugglesfromadearthofelectricity. BushveldMinerals,listedonAlternativeInvestmentMarket
“Wearesortingoutthispowerproblemandwehopetoone (AIM)inLondonin2017,whichminesvanadiumnearBritswest
dayexportmoregoldthanoilfromNigeria,”saystheNigerian ofJohannesburg.Ithas3%ofworlddemandandsuppliesthe
ministerofminesandsteeldevelopmentOlamilekanAdegbite. UnitedStatesandAsia.Thecompanyhopestotrebleoutputto
Lookingfurtherintothefuture,therearebrighterprospects 8,400tonnesinthenextfiveyearsatitsVametcoplant,which
acrossAfrica,especiallytheglisterofso-calledbatterymetals employs600workers,tocapture10%oftheworldmarket.
settodrivefuturedemand.Thesearemetalslikevanadium, NowtheSouthAfricancompanyisgearinguptotake
rhodium,cobaltandlithiumthatwilldriveanewgeneration advantageoftheworldrushforbatterymetalstounearth
offactories,officesandelectriccarsastheworldtriestowean moremetalslikecobalt,lithiumandvanadiumthatwillmake
itselffromcarbon. thebatteriesthatwillpowertheworld’scars,factoriesand
Chinaisundergoingahugeindustrializationprogrambased mines.Thistransformation,expectedtobeledbyChinese
aroundthebattery.Expertsexpecttheworldmarkettoincrease manufacturers,willreplacefossilfuelswithelectricityto
122timesinthenext20yearsattracting$660billionincapital. diminishtheworld’scarbonfootprint.
OneAfricanoperationthatispushingtothefrontofthe “MyonlyquestioniscanAfricakeepupwiththisdemand,”
queue to supply battery metals is run by 43-year-old Fortune says Mojapelo at the Mining Indaba in Cape Town, “I think we
22 | FORBES AFRICA MARCH 2020 FORBESAFRICA.COM
