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ADU ReVIeW

Generational chance in Gabon

nterest in Gabon as an iron ore jurisdiction, 13% of the strike has been drill tested,” he
Idespite no history of mining the commodity, said.
is beginning to heat up as Australian compa- Markets are also encouraging, with the
nies pump funds into the country. high demand for good quality product, which
Gabon’s high-grade hematite ore, first dis- encourages low carbon emissions, poten-
covered in the 1950s, is drawing the atten- tially playing into Genmin’s hands.
tion of explorers, but Genmin Ltd managing “We are expecting an increase in demand
director Joe Ariti says the country’s encour- for pellets in the iron ore market due to de-
aging policies and economic stability push carbonisation initiatives,” Ariti said.
it over the line as a world-class investment Resources major Fortescue Metals Group
jurisdiction. Ltd, a company known for its low-carbon
“The way I would characterise it, is Ga- plans, has also descended on Gabon for the
bon is a Tier-1 investment destination,” Ariti high-grade ore. Fortescue signed a JV explo-
told delegates at this year’s Africa Down ration agreement for its Belinga project in Au-
Under Conference. “It has enjoyed political gust, planning to spend up to $US90 million Joe Ariti
and economic stability since [it gained] in- across the 4,500sq km landholding.
dependence in 1960. We expect to pioneer But Genmin, which received its exploration “In delivering Gabon iron ore to world mar-
iron ore mining in Gabon.” licence for Baniaka in 2012, has progressed kets, we plan to follow a low-risk execution
Genmin is seeking to kick off production its plans in country significantly further than strategy,” he said. “An initial 5mt iron ore ex-
from its Baniaka project by the middle of Fortescue after signing offtake MoUs with port operation and then scaling to 10mt.”
2024. Baniaka is joined in the company’s Chinese partners for 16mt of ore and inking Baniaka is currently undergoing feasibility
portfolio by the Bakoumba project for a total a royalty agreement with Anglo American plc. studies and is scheduled to complete environ-
700mt resource. China also continues to maintain its place mental studies by the end of this year.
Ariti said there is still plenty of upside to as iron ore’s largest buyer, increasing its pur- “We expect to announce our feasibility
unearth across the 2,500sq km landholding. chasing by 5.5% between August to Septem- study results at the end of September,” Ariti
“We have defined a mineralised system ber for 96.21mt. Ariti has confidence Gabon said.
with approximately 120km of strike, [only] can contribute to that demand.
– Fraser Palamara

Gabon wants to go global

he Republic of Gabon, the world’s exploitation of manganese with the objec- Fortescue Metals Group and [the Africa
Tsecond largest manganese miner, is tive of quickly becoming the world leading Transformation and Industrialisation Fund]
looking to both grow its existing mining exporter of manganese.” aims to strengthen the mining sector’s
output and diversify its minerals portfolio. But it is the possible diversification of its contribution for a thriving economy, while
Speaking at Africa Down Under, Gabo- mining portfolio that has Binou most ex- making Gabon a benchmark mining desti-
nese Minister for Mines Elvis Stessy Os- cited to push Gabon forwards as a formi- nation,” Binou said at the time.
sindji Binou was confident the Central dable resources player. This includes the The viability of such projects are backed
African country could crown itself king of exploration of iron ore, gold, zinc, copper by existing in-country infrastructure, in-
manganese. and rare earths. cluding deep water ports, domestic and in-
“Very early on, Gabon was able to focus “Gabon intends to quickly reach signifi- ternational airports, optic fibre, hydroelec-
on its flagship mineral: manganese,” Binou cant gold production with upcoming com- tric dams, railroads and main roads.
told delegates. “More than 16 exploration mencement of production with several “The Gabonese Republic intend to mo-
projects are under way in the territory… gold projects,” Binou said. bilise the large scale infrastructure already
several of these projects are in the final Of the minerals Gabon is interested in existing in the country to support the de-
phase of feasibility studies. exploiting, iron ore perhaps has the most velopment of its mining sector,” Binou said.
“Gabon intends to further increase the backing with the possession of several “In particular, by the exploitation of a
high-grade deposits. Some reports esti- high-grade deposit located in the north of
mate there is more than 1bt of unexploited the country, specialised in development by
iron ore in Gabon. Genmin [Ltd] and Fortescue.”
In the weeks leading up to Africa Taking advantage of such minerals
Down Under, Fortescue Metals Group could successfully wean Gabon off of ex-
Ltd pledged to spend $US90 million over porting oil and gas, of which it is the eighth
three years at its Belinga iron ore project. largest producer in sub-Saharan Africa.
Fortescue holds an 80% interest in the JV In 2020, Gabon’s mining sector con-
and signed an exploration convention with tributed 6% to its GDP and 6% to exports
the Gabonese Government in mid-August. value.
“The culmination of the Belinga iron pro-
Elvis Stessy Ossindji Binou ject with the Australian mining company – Fraser Palamara

Page 62 OCTOBeR 2022 aUSTRaLIa’S PaYDIRT