Compiled by Sreemayukha Nyayapathi
SOUTH AFRICA
The 29 May polls and beyond — a policy wish list for the mining industry
Daily Maverick, May 26, 2024
- “Originally envisioned to rectify racial disparities in the mining sector and launched two decades ago, the Mining Charter has often been a bone of contention between the government and the industry, especially over some of its targets and the insistence that companies maintain certain percentages of black ownership in perpetuity.”
- “I often think and reflect on the Mining Charter in terms of ESG [Environment, Social and Governance concerns] and how advanced it was in terms of its intentions on social progress, given the history of South Africa and the history of the mining sector particularly,” Mthenjane said.”
- “Implementing all elements of the Mining Charter, including the BEE scorecard, has taken place in a context where unfortunately we have been socially and economically deteriorating.”
- “What that has meant is that the effort of the Mining Charter has become grossly insufficient to address the social and economic needs of many communities that mining operations find themselves in.”
South African Shell-BP refinery purchase raises clean-up concern
Bloomberg, May 27, 2024
- “South Africa’s purchase of the nation’s largest refinery from Shell Plc and BP Plc for a symbolic rand (five US cents) will transfer the environmental liability of the site to the government, according to a local advocacy group.”
- “The state-owned Central Energy Fund, which manages South African energy assets, agreed to buy the 180,000-barrel-a-day Sapref plant, the Department of Mineral Resources and Energy said on Saturday.
- The asset will support the CEF’s growth strategy following the decline of local refining capacity, according to the department.”
Green shoots in search to find new mineral deposits
Business Live, May 27, 2024
- “Early stage exploration sets the tempo for future mining operations in a country, Mark Ferguson, research director at S&P, said in the webinar. He noted that SA was not as active in green fields exploration as it should be.”
- “The establishment of a R400m exploration fund by the department and the Industrial Development Corporation (IDC) is an initiative that could change this situation.”
- “Amid growing global demand for the metals and minerals needed for the transition to a low-carbon future, the bid to address years of underinvestment in prospecting is gaining traction. Green shoots are starting to show in the SA regulatory and mineral rights management processes.”
- “If SA is to fully realise the growth opportunities of its minerals potential and enter the race for critical minerals, it needs a modern, efficient and conducive operating and regulatory environment to position itself as an investment destination of choice.”
The Conversation, May 29, 2024
- “On average, periods of load shedding were associated with a 2.6% lower chance of being employed, 1.3% fewer working hours per week (equal to about half an hour), and 1.7% lower real monthly earnings. These are large effects.”
- “There is no evidence of a relationship with hourly wages. This suggests that the monthly earning reductions were driven by fewer working hours. Low levels of load shedding did not have these associations. But they were markedly worse with higher levels.”
- “Not all firms were affected equally. Manufacturing – a relatively energy-intensive industry – was worst off by far. We found that load shedding was associated with nearly 17% lower manufacturing employment, about 6.5 times larger than the average of all industries.”
- “In most industries, our model suggested that working hours were cut when power was cut.”
(Further Reading: https://sa-tied.wider.unu.edu/sites/default/files/WP227.pdf)
Early results in South Africa’s election show ANC losing majority
The Hindu, May 30, 2024
- “The African National Congress appeared on course to lose the parliamentary majority it has held for 30 years, partial results from South Africa’s national election showed, in what would be the most dramatic political shift since the end of apartheid.”
- “With results from 10% of polling stations, the ANC’s share of the vote on May 29th’s election stood at 42.3%, with the pro-business Democratic Alliance (DA) at 26.3% and the Marxist Economic Freedom Fighters (EFF) at 8.1%, data from the electoral commission showed.”
- “If the final results were to resemble the early picture, the ANC would be forced to make a deal with one or more other parties to govern— a situation that could lead to unprecedented political volatility in the coming weeks or months.”
Ajay Gupta’s arrest shot in the arm for President Ramaphosa as South Africa votes
The Economic Times, May 30, 2024
- “The Zumas and the Guptas, the two families became so closely linked that a joint term was coined for them — the ‘Zuptas’, with several members of the Zuma family working in firms owned by the Guptas.”
- “When a chartered plane transporting guests for the wedding of their sister’s daughter landed at the Waterkloof Air Base near Pretoria in 2013, it caused a stir. Only visiting heads of state and diplomatic delegations are allowed to use the base. The incident led to an outcry and was dubbed as “Guptagate” by the South African media.”
- “Allegations about the Guptas’ influence over cabinet nominations in South Africa surfaced in 2016.”
How a rattled South Africa became Anglo’s best defence against BHP bid
Mining.com, May 30, 2024
- “Days after miner BHP launched its takeover bid for rival Anglo American in April, the CEOs of both headed for South Africa, where a condition to divest Anglo’s local platinum and iron ore assets was causing a political storm.”
- “South Africa’s government had been caught off-guard a month before an election by a takeover offer for a company deeply entrenched in the national economy, and mines minister Gwede Mantashe sharply criticized the plan to buy Anglo and spin off its South African assets.”
- “The source said the Australian miner had no intention of announcing the approach while South Africa was going through an election. “It should have been played out between the companies,” they added.”
Fantastic advance by Proudly South African manganese battery metal first-mover
Mining Weekly, May 31, 2024
- “Proudly South African Manganese Metal Co (MMC) of Mbombela, Mpumalanga, is making a fantastic first-mover advance to enter the manganese battery metal market, which is progressing super-fast. “
- “However, just as China did not wait for the world and America and Europe are not waiting for South Africa, the battery space is developing super-fast. We do not have to back a technology or a combination of minerals. We will be supplying manganese in the shape and form that the precursor manufacturers want it to these manufacturers as soon as possible”.
Zuma big election ‘winner’ as South Africa heads for coalition government
Al Jazeera, May 31, 2024
- “Former President Jacob Zuma is emerging as the biggest victor of South Africa’s general elections as his new breakaway uMkhonto we Sizwe Party (MK) appears poised for major gains at the expense of the country’s governing African National Congress.”
- “With more than 97 percent of votes counted, the MK appeared to be on the cusp of grabbing power in KwaZulu Natal, comfortably leading in a province where the ANC has never previously lost since the first post-apartheid elections in 1994.”
South Africa’s ANC to start coalition talks after bruising vote
The Hindu, June 02, 2024
- “With 99.91% of the votes from Wednesday’s election counted, President Cyril Ramaphosa’s African National Congress had only 40.2%, a catastrophic slump from the 57.5% it won in 2019.”
- “The ANC is committed to the formation of a government that reflects the will of the people, that is stable and that is able to govern effectively,” ANC secretary-general Fikile Mbalula told a press conference.”
- “The voters of South Africa have shown that they expect the leaders of this country to work together in the interests of all,” he said.”
- “The party must negotiate a coalition government or at least persuade others to back Mr. Ramaphosa’s re-election in parliament to allow him to form a minority administration.”
South African Election Voter Turnout, Mapped
Source: www.aljazeera.com
NIGERIA
Nigeria is emerging as a critical mineral hub. The government is cracking down on illegal operations
AP News, May 27, 2024
- “Nigeria’s government is cracking down on illegal mining, making dozens of arrests of unlicensed miners since April for allegedly stealing the country’s lithium, a critical mineral used in batteries for electric vehicles, smartphones and power systems.”
- “The recent arrests come as Nigeria seeks to regulate its mining operations of critical minerals, curb illegal activity and better benefit from its mineral resources.”
- “The clean energy transition, a shift away from coal, oil and gas and toward renewable energy and batteries has spiked global demand for lithium, tin and other minerals.”
- “Illegal mines are rife in the country’s fledging industry as corruption among regulatory officials is common and the mineral deposits are located in remote areas with minimal government presence. Officials say profits from illicit mining practices has helped arm militia groups in the north of the county.”
Gunmen kidnap 150 people in central Nigeria: officials
The Hindu, May 27, 2024
- “A UN source gave the same figure for the number kidnapped, while Nigerian state rescue agency SEMA said more than 100 were abducted.”
- “Mass kidnappings for ransom are common in Nigeria’s northwest and central states, where heavily armed gangs known locally as bandits often target remote villages to loot and abduct residents.”
- “Boko Haram and rival jihadist group Islamic State West Africa Province (ISWAP) also regularly carry out abductions in northeast Nigeria.”
Nigeria roots out 122 illegal oil refineries
Africa Business Insider, May 29, 2024
- “How do you increase oil production? Remove the security challenge we have in our onshore assets. As we all know, the security challenge is real. It is not just about theft, it is about the availability of the infrastructure to deliver the volume to the market,” the group executive officer, Mele Kyari, stated.”
- “No one is going to put money into oil production when he knows the production will not get to the market. Within the last two years, we removed over 5,800 illegal connections from our pipelines. We took down over 6,000 illegal refineries. You simply cannot get people to put money until you solve that problem,” he added.”
Nigeria’s 2023 oil export to Indonesia hit $3.8bn
Punch, May 30, 2024
- “Nigeria exported crude oil and gas valued at over $3.8bn to Indonesia in 2023, the Indonesian Ambassador to Nigeria, Dr Usra Harahap, has said.”
- “The oil and gas sector of the economy was of common interest to both countries, adding that his country would want to explore areas of more collaboration with Nigeria in that regard.”
- “He (Harahap) noted that Indonesia imported over $3.8bn worth of oil and gas from Nigeria in 2023 and stressed the need for Nigeria and Indonesia to resume discussions on the establishment of a Memorandum of Understanding in the oil and gas sector which had been suspended since 2017”.
Business Day, May 30, 2024
- “Insecurity is like the doctor’s office being a dangerous place. Corruption, oil theft, and vandalism are rampant, making it difficult for businesses to operate safely. It’s like the patient is in the emergency room, but the hospital is under attack.”
- “The essence of the problem lies in the misplaced focus. Just as the primary goal of the medical profession is to save lives and promote health, the primary goal of the oil and gas sector should be to efficiently produce energy, drive economic growth, and foster technological innovation.”
- “When bureaucracy takes precedence over these fundamental objectives, the system becomes inefficient and counterproductive. Streamlining processes and cutting through unnecessary red tape can ensure that both doctors and energy sector professionals can focus on what truly matters—delivering results and making a positive impact.”
Democracy under scrutiny as Nigerians struggle to afford the basics
The Guardian, May 30, 2024
- “The number of poor Nigerians “is totally unacceptable to the president … that is why it is perhaps his No 1 priority to tackle poverty, and he has a programme to stabilise and grow the economy in general,” Wale Edun, the finance minister, said last October at the launch of a welfare programme to give N75,000 (£42) across three months to each of the country’s 15 million low-income households.”
- “From his first day in office, Tinubu began announcing textbook reforms that economists and policymakers had suggested for years: currency devaluation and cutting off a fuel subsidy that had fanned corruption for decades.”
Nigeria Mining Week: Encouraging partnerships for development
Mining review Africa, May 30, 2024
- “With notable global industry players such as Titan Minerals and Thor Explorations in attendance with a common goal of encouraging ecological development in the sector, the event served as a place for collaboration and investment in the growing mining sector in the country.”
- “Bading MVe adds that by working together, both the private sector and government can leverage their respective strengths to achieve common goals and address challenges effectively. While the private sector brings innovation, investment and operational expertise to the table, the government provides regulatory frameworks and facilitates access to resources.”
Exxon moves to smaller offices as it cuts back Nigerian operations
Reuters, May 31, 2024
- “Exxon said it was maintaining a strong presence in Nigeria. “Our move to a new modern, purpose-built office reflects our commitment to Nigeria,” said Oge Udeagha, a spokesperson for ExxonMobil’s Nigerian unit. “We remain dedicated to our workforce and our staffing remains unchanged.”
- “Yet Exxon’s relocation to smaller offices and an absence of any new investments highlight how serious it is about scaling down its Nigerian operations, even as the country’s government turns on the charm for multinational oil firms.”
Nigerian Panel Seeks to Slash Number of Taxes by About 87%
Bloomberg, May 31, 2024
- “Nigeria plans to reduce the number of levies in Africa’s most-populous nation by more than 87% in a bid to make it easier for residents to pay taxes and boost revenue.”
- “The Presidential Fiscal Policy and Tax Reforms Committee is seeking approvals from lawmakers and the president to keep the income tax, value added tax, property tax, customs duties, excise tax, stamp duties, special levy and the harmonized levy, Taiwo Oyedele, chairman of the panel said.”
Nigeria’s NNPC plans to expand natural gas stations for domestic use
Reuters, May 31, 2024
- “Nigeria’s NNPC said it plans to build six compressed natural gas (CNG) service plants with local firm Axxela to expand access to alternative fuel for cars and industries after commissioning its first plant in Lagos on Thursday.”
- “The plan is part of the oil- and gas-rich nation’s effort to lower transportation costs which skyrocketed as petrol pump prices rose last year following the removal of costly gasoline subsidies, angering the public.”
Arise, May 31, 2024
- “ He argued that without subsidy being removed, Nigeria by now would have been like Venezuela, stressing that the president is not appreciated well enough for the decision to remove fuel subsidy.”
- “Lokpobiri stated on the television programme that from what he was told by NNPC, the Port Harcourt refinery will start working before the end of the third quarter of the year. The company had scheduled December 2023 for the commencement of operations.”
FG to set up Mineral Resource Committee in Enugu
Radio Nigeria, June 01, 2024
- “The Federal Government and the Enugu State have agreed to set up Mineral Resources and Environmental Management Committee (MIREMCO) to monitor mining companies’ compliance with environmental standards in the state.”
- “A statement by the Special Assistant on Media to the Minister of Solid Minerals Development, Segun Tomori in Abuja, says the Collaboration was part of effort to enhance the development of the mining sector in the coal-rich state.”
Sun News, June 02, 2024
- “Nigeria remains one of the most solid minerals resourced-countries in the world with all 36 states and Abuja housing globally sought-after minerals in commercial deposits. Conservative estimates place the solid minerals value in the country at over $700 billion.”
- “Preliminary reports by a German firm, GeoScan, put the minerals worth of the nation at $750 billion.”
- “Nigeria loses an average of $9 billion annually in the mining sector to illegal mining, theft and plain negligence. Because past Nigerian governments looked away from mining, depending mainly on petro-dollar, artisans and a horde of foreign crooks ploughed their proboscis into the nation’s subsoil excavating lithium, diamond, gold, bauxite, kaolin, gypsium, lead/zinc, lignite, uranium, limestone, columbite and just about any imaginable mineral all of which occur in huge deposits in Nigeria.”
- “The Chinese are the major culprits and chief promoters of illegal mining in Nigeria. They do so in cahoots with Nigerians, some traditional rulers, some highly placed individuals and some ordinary, poverty-beaten citizens who are recruited for peanuts as hewers of wood in the illicit mining business.”
OPEC keeps Nigeria’s crude oil production quota for 2025 at 1.5million bpd
Nairametrics, June 02, 2024
- “The Joint Ministerial Monitoring Committee (JMMC) of the Organisation of Petroleum Exporting Countries and its allies (OPEC+) has pegged Nigeria’s crude oil production quota for 2024 at 1.5 million barrels daily.”
- “This was disclosed in a press statement following the committee’s meeting where it set the crude oil production for both OPEC members and the allies for the year 2025.”
- “According to the document, the oil cartel and its allies would produce 39.7 million barrels daily with Saudi Arabia having the largest daily production quota at 10.4 million barrels followed by Russia with 9.9 million bpd.”
Nigeria’s oil sector turns ghost town as FDI vanishes
Business Day, June 03, 2024
- “FDI in the sector fell to less than half a billion dollars in the first half of 2023, with the full-year figure unlikely to match a peak of $22.5 billion in 2019.”
- “When an oil executive said Nigeria needed $25 billion per annum in investments to be able to achieve a production target of 2 million barrels daily, the task at hand for Nigeria came into better perspective.”
- “In August 2014 “the perfect storm of collapsing oil prices” arrived, said Carlos Hardenberg, lead portfolio manager of Templeton Emerging Markets Investment Trust. The naira fell, investors fled and Niger Delta militants who wanted a greater share of the country’s energy wealth struck.”
- “Little has changed since then.The country’s appeal had been tarnished by security problems that have only worsened since. Compounding this internal rot is the exodus of oil majors such as Shell, ExxonMobil, Eni and TotalEnergies that once buzzed with the rhythm of the pumps, now echo with the silence of departure.”
- “The pain of this large-scale theft and vandalism, as well as decades of under-investment in infrastructure, was so severe that in April 2023, the country produced less than one million barrels of oil daily, far below its 1.8m bpd Organisation of Petroleum Exporting Countries quota.”
Foreign Direct Investments in Nigeria’s Oil and Gas Sector (in Billions USD)
Source: www.businessday.ng
REA and EM-ONE Energy Solutions Forge Alliance to Propel Nigeria Towa
Solar Quarter, June 03, 2024
- Central to the partnership are interconnected mini-grids, smart grid technologies, and virtual power plants (VPP), serving as pivotal components for Nigeria’s grid modernization efforts. These IMGs facilitate the interconnection of distributed energy resources (DREs), offering a cost-efficient solution to bridge the energy access gap.”
- “Leveraging smart grid technologies and VPPs, the collaboration seeks to enhance grid visibility, optimize power flows, and scale up renewable energy integration.”
ALGERIA
Algeria Proposes UN Resolution for Ceasefire in the Gaza Strip
Times of India, May 29, 2024
- “Algeria has submitted a draft resolution to the United Nations Security Council, calling for an immediate ceasefire in the Gaza Strip and the release of all hostages held by Hamas. The resolution also demands that Israel “immediately halt its military offensive” in Rafah, citing a recent ruling by the International Court of Justice that ordered Israel to stop its military assault in the area.”
- “The move comes in response to an attack on Sunday that killed at least 45 people in a designated humanitarian zone in Rafah, southern Gaza. Israel claimed it had targeted Hamas militants and had not intended to harm civilians.”
Algerian Army Kills Sahrawi Gold Miners Near Tindouf
Morocco World News, May 29, 2024
- “The Algerian army killed three Sahrawi gold miners near the Algeria-controlled Tindouf camps run by the Polisario Front separatist group on Tuesday, May 28. “
- “The Forum for the Autonomists of Tindouf (FORSATIN) reported on the killing on Monday, saying that an Algerian aircraft “bombed a large group of unarmed Sahrawis” near the Tindouf camps.”
- “The brutal bombing targeted a civilian car, resulting in the death of three individuals,” the same source added.”
- “FORSATIN reported the attacked Sahrawis were “trying to make a living and cope with the harsh conditions in the camps, where unemployment is rampant amid Algerian security restrictions and a blockade by Polisario militias.”
Algeria makes 8 major oil, gas discoveries in 2024
Middle East Monitor, May 30, 2024
- “Algeria’s state-owned oil company Sonatrach has discovered eight new oil and gas fields since January, the energy minister said.”
- “In an interview on Algerian television yesterday, Minister Mohamed Arkab said the “important” new discoveries were made by Sonatrach alone in completely new sites, mainly in the states of Bechar, Ain Salah, Illizi, Djanet and Ouargla.”
Algeria nears deal with Chevron to boost gas supply to Europe
Offshore Technology, May 31, 2024
- Algeria is on the brink of finalising an agreement with Chevron to enhance its natural gas exploration and production capabilities, reinforcing its position as a crucial supplier to Europe, reports Bloomberg. In an interview with state TV, Energy Minister Mohamed Arkab said the state-owned Sonatrach is expected to sign the contract to develop a substantial hydrocarbons field “within the next few days.”
ANGOLA
Lucapa recovers 195-carat diamond from Lulo mine
Mining.com May 28, 2024
- “The diamond is the sixth largest and the 44th +100 carat diamond to be recovered from the Lulo mine, the company said, adding that the 195-carat Type IIa diamond is the fourth +100 diamond to be recovered at Lulo this year.”
- “The mine, which hosts the world’s highest dollar-per-carat alluvial diamonds, began commercial production in January 2015. Only a year later, it delivered the largest ever diamond recovered in Angola — a 404-carat white stone later named the “4th February Stone”.
- “Lucapa has a 40% stake in the Lulo mine. The rest is held by Angola’s national diamond company (Endiama) and Rosas & Petalas, a private entity.”
Azule Energy CEO joins Angola Oil and Gas 2024
African Mining, May 29, 2024
- “Additionally, during the 2023 edition of AOG, Azule Energy signed an MoU Sonangol to boost decarbonization initiatives in Angola.”
- “The Mo focuses on identifying common interests in the decarbonization process, establishing a collaborative framework and exploring opportunities for renewable energy projects such as solar and wind, low-carbon businesses and nature-based solutions like forest conservation.”
- “Mongini’s participation in AOG 2024 underscores Azule Energy’s commitment to expanding its footprint in Angola and contributing to the country’s energy security. By joining AOG 2024, Azule Energy will demonstrate its dedication to advancing Angola’s oil and gas sector through strategic projects, innovative partnerships and sustainable practices.”
Vaclav Bartuska to Explore Collaborative Energy Ventures at Angola Oil & Gas (AOG) 2024
Social News xyz, May 31, 2024
- With the governments of the Czech Republic and Angola having recently met to increase cooperation in the areas of aviation and transport, healthcare, smart agriculture, mining and geological exploration, the two countries are well-positioned to benefit from mutual cooperation, investment protection and promotion.
- Key topics of the meeting, which included the President of Angola João Manuel Lourenço and the Prime Minister of the Czech Republic Petr Fiala were economic cooperation, support for Czech exports and investments and defense-industrial cooperation. It was noted during the meeting that the Czech Republic is interested in participating in the Lobito rail corridor project – a 1,300km railway from the port of Lobito to Angola’s border with the Democratic Republic of Congo.
Angola: The Long Road Travelled and the Way Forward
CSIS, May 30, 2024
- “Angola has come a long way since independence in 1975 and the end of its civil war in 2002.”
- “It faces three major challenges: strengthening the democratic process, liberalizing its economic model, and consolidating steps toward national reconciliation, none of which can be achieved without strengthening rule of law and factoring in the interests of all Angolans.”
- “It produces 1.16 million barrels of oil a day and is sub-Saharan Africa’s second-largest oil producer. However, it has yet to fully capitalize on its natural wealth. The country has accrued $66 billion (about 70.3 percent of its GDP) in debt and owes China, its largest creditor, $17 billion.”
- “Government institutions remain politicized at all levels, with leadership appointed based on party loyalty, not meritocracy.”
- “Only an independent judiciary can lay the ground for ensuring civic and human rights, upholding contracts, and protecting property and citizens.”
- “The public bidding process should also be more rigorous and transparent to ensure that competition is fair…”
LIBYA
OPINION – UN’s Libyan envoy resigns: What does it mean for Libya’s political future?
AA, 27 May, 2024
- “Libya’s weak state institutions, especially security, combined with increasing armed groups, have increased the incentive to compete for power. As a result, the ongoing political deadlock continues to work in favor of military figures such as Haftar. “
- “Meanwhile, armed militias and foreign fighters with vested economic interests continue to operate freely, undermining any sense of central authority.”
- “Despite significant division among rival parties, both sides usually find common ground to share the profits when distributing oil income.”
- “From time to time, if there is no agreement, then the eastern side, where most of the oil fields are located, which is under the control of Haftar, blocks the oil terminals from operating until a decision is reached.”
- “Haftar has been using the oil blockade as leverage against the UN-backed governments. For instance, in 2020, militias under the control of Haftar blockaded eastern Libya’s main oil terminals for 8 months, and the estimated cost of these oil blockades was around $11 billion.”
- “The dysfunctional state’s control over the resources benefits the current political status quo and their militia groups.”
- “Institutions have become tools to deepen the division and entrench the conflict rather than reconcile the needs and demands of parties with those necessary for state building.”
Libyan Oil Minister Cleared of Smuggling, Mismanagement Allegations
Oil Price, May 29, 2024
- “The suspension could unblock progress on major oil projects — Aoun was behind a halt to the development of the NC7 Hamada field on the basis that it granted excessive concessions to foreign operators.”
- “On the other hand, Aoun retains the support of parties with the ability to disrupt Libya’s oil and gas production,” he added.”
- “Two months into the suspension, however, the official account is that Aoun has been returned to his position and the investigation is over, which could suggest that Aoun has agreed to cooperate where earlier he had been reluctant.”
EGYPT
India, Egypt top destinations for Russian seaborne fuel oil, VGO exports in April, LSEG data shows
Hindustan times, May 23, 2024
- “India and Egypt were the top destinations for Russian seaborne fuel oil and vacuum gasoil exports in April, traders said and LSEG data showed. In total, Russian fuel oil and VGO seaborne exports fell in April by 10% month-on-month to about 3.32 million tons, as refining capacity idled due to maintenance, technical outages and drone attacks, increased last month by 13.6% from March, Reuters calculations showed.”
GHANA
Tycoon Ambani Sets Sights on Africa With Telecom Venture
Bloomberg, May 27, 2024
- “Asia’s richest man Mukesh Ambani is set to enter Africa with a telecom venture, seeking to win mobile broadband customers in a high-growth market. Radisys Corp., a unit of Ambani-controlled Reliance Industries Ltd., will provide key network infrastructure, applications and smartphones for Ghana-based Next-Gen InfraCo., according to its Executive Director Harkirit Singh.”
Lands Minister bemoans breakdown of regulation in mining sector
Citi Newsroom, May 29, 2024
- “The Minister emphasized the need to decentralize the operations of the Minerals Commission and enhance its resources to ensure it can execute its constitutional mandate effectively.”
- “The problem we have had, which is why we have had this breakdown in regulation in the mining sector of our country, particularly the small-scale mining sector, is because we have not been able to regulate the sector in the manner that we should.”
- “You have the Inspectorate Division of the Minerals Commission sitting in Accra. The mining is taking place in Obuasi and other areas, and you do not have enough personnel to inspect and ensure that licenses are processed on time, and so on. This is what has brought us to where we are today. There have been years of neglect, of not putting in place the necessary infrastructure and enhancing the operational capacity of the Minerals Commission because the Minerals Commission is the regulator of the mining sector in our country.”
- “Once completed, it will serve Newmont, Ahafo North and South, Asanko, and Obuasi Mines.”
DEMOCRATIC REPUBLIC OF CONGO
Ivanhoe eyes next expansion phase at DRC copper mine
Resource World, 28 May, 2024
- “Ivanhoe Mines Ltd. [IVN-TSX, IVPAF-OTC] said the first ore has been fed into the Phase 3.0 concentrator at the company’s Kamoa-Kakula Copper mine complex in the Democratic Republic of Congo (DRC), an operation that is currently benefitting from improved power stability.”
- “The company said first ore marks the completion of the Phase 3.0 concentrator, which has been achieved months ahead of schedule and also on budget. First concentrate is expected in early June, while ramp-up to commercial production is targeted for early in the third quarter of 2024.”
- “Production guidance is estimated at between 440,000 and 490,000 tonnes of copper in concentrate, following the anticipated completion of the phase 3.0 concentrator during the third quarter of 2024.”
- “The company said Kamoa-Kakula produced 393,551 tonnes of copper in concentrate in 2023, a number that was inside the 2023 production guidance rate of 390,000 to 430,000 tonnes, and marking a year-over-year increase of 18%.”
U.S. and Ghana Advance Cooperation on Clean, Secure, Safe, and Reliable Nuclear Energy
US Embassy in Ghana, May 29, 2024
- “U.S. Principal Deputy Assistant Secretary of State for International Security and Nonproliferation Ann Ganzer announced new civil nuclear cooperation to further support Ghana’s safe and secure use of nuclear power, including establishing Ghana as a small modular reactor (SMR) regional hub.”
- “The announcements were made at the Africa Nuclear Business Platform meeting in Accra, Ghana on May 28.”
- “In conjunction with these significant developments, the Government of Ghana represented by Nuclear Power Ghana is working on a cooperation agreement with the project developer Regnum Technology Group LLC to develop an industrial enclave utilizing NuScale SMR nuclear power plant as its main source of energy.”
- “The U.S. government strongly supports the deployment of NuScale’s technology through Regnum Technology Group as a project developer in Ghana and looks forward to seeing the conclusion of this agreement.”
AngloGold Ashanti Submits Specialized Disclosure Report on Conflict Minerals
News Ghana, May 31, 2024
- “AngloGold Ashanti completed a comprehensive country-of-origin determination and confirmed that no gold or gold-bearing materials used in its manufacturing processes at the Queiroz plant in Brazil were sourced from the Democratic Republic of the Congo (DRC) or adjoining countries during 2023.”
- “This conclusion is in line with the Conflict Minerals Rules aimed at preventing the financing of armed groups in conflict regions.”
GABON
Business, security on agenda as Gabon’s transitional president visits France
Yahoo News, May 28.2024
- “Brice Clotaire Oligui Nguema, Gabon’s interim president, begins his first official visit to France this Tuesday with an entourage of several ministers and will be received by President Emmanuel Macron at the Élysée Palace.”
- “Bilateral relations, subjects of common interest such as climate and forests, and the progress of Gabon’s transition will be high on the agenda for discussion during Oligui Nguema’s trip to Paris.”
- “The interim leader’s working visit will also serve to distance Gabon from Sahel countries such as Mali, Burkina Faso and Niger, which have been shaken by a string of coups d’etats and the rejection of French influence in the region.”
ZIMBABWE
Zimbabwe’s gold-backed new currency ZiG launched
Financial Express, May 28, 2024
- “Zimbabwe has launched the world’s newest currency – the ZiG. The new gold-backed currency called the ZiG, or Zimbabwe Gold, has come into effect from April 5, 2024 and will co-circulate with other foreign currencies in the economy. Banks in Zimbabwe have been converting the country’s previous national currency, the Zimbabwe dollar, into ZiGs.”
- “The swap rate was decided by Zimbabwe’s central bank based on the closing interbank exchange rate and the price of gold as of April 5, 2024. The swap rate was used to make legitimate conversions of all ZW$ deposits in the banking sector, all ZW$ loans and advances made by the sector, all prices of goods and services in ZW$ and any other ZW$ denominated obligations.”
- “The introduction of ZiG is an attempt to mitigate the currency instability and hyperinflation that has plagued the country for decades.”
- “Zimbabwe has historically suffered from excessive inflation, with rates topping 500% in recent years. In March 2024, the yearly rate of price rises was 55.3%, a seven-month high.”
Elon Musk’s Starlink Receives License Approval in Zimbabwe
FirstPost, May 29,2024
- “Zimbabwe has officially granted an operating license to Starlink. The country’s President Emmerson Mnangagwa said Starlink will provide services through its sole and exclusive local partner, IMC Communications.”
- “It is expected to result in high-speed, low-cost internet throughout Zimbabwe. According to the World Bank, only 34.8% of Zimbabwe’s population had access to the internet as of 2021. However, the entry of Starlink will enhance connectivity even in the most remote areas.”
- “The approval comes after Starlink’s services were earlier shut down in the country. Last month, the country’s telecommunications regulator suspended the firm’s operation until it obtained licensing approval.”
- “This comes as Elon Musk’s firm is looking to expand its foothold in the world’s second-largest continent.”
Zimbabwe authorities mix charm with force in an attempt to shore up the world’s newest currency
ABC News, May 26, 2024
- “Desperate to halt a money crisis underlining the country’s economic troubles, the government launched the gold-backed ZiG, the latest attemp< # >t to replace the Zimbabwe dollar, which had been battered by depreciation and often outright rejection by people unwilling to put their faith in it.”
- “Yet, despite the charm offensive, the ZiG is facing a familiar problem: public mistrust and structural barriers that have people still clamoring for U.S. dollars.”
- “Although the ZiG has largely held its value on the official market, it has tumbled on the black market, where $1 can be exchanged for up to 17 ZiGs.”
- “Authorities are also using force to prop up the new banknotes. They have packed jail cells with dozens of street currency dealers, and frozen the accounts of businesses accused of undermining the ZiG.”
Zimbabwe’s new gold-backed currency faces public skepticism amid crackdown
Africa News, May 27, 2024
- “Although money typically doesn’t require publicity, Zimbabwe’s sixth national currency in 15 years needs all the help it can get.”
- “Desperate to halt a money crisis underlining the country’s economic troubles, the government launched the gold-backed ZiG, the latest attempt to replace the Zimbabwe dollar, which had been battered by depreciation and often outright rejection by people unwilling to put their faith in it.”
- “Senior officials from the Reserve Bank of Zimbabwe and the ruling ZANU-PF party embarked on a flurry of public rallies and meetings to encourage the skeptical population to now embrace the ZiG ahead of the U.S. dollar — also legal tender in the southern African nation.”
MOZAMBIQUE
CNOOC secures five exploration and production contracts offshore Mozambique
World Oil, May 27, 2024
- “CNOOC (China National Offshore Oil Corporation) Limited’s wholly-owned subsidiaries have entered into petroleum exploration and production concession contracts (EPCCs) with the Ministry of Mineral Resources and Energy of Mozambique (MIREME) and Empresa Nacional de Hidrocarbonetos (ENH) for five offshore blocks in Mozambique.”
- “According to the terms of the contracts, the first stage of the exploration period of the blocks shall be four years. The five wholly-owned subsidiaries of CNOOC Limited shall act as the operators in the exploration and development phases and independently owns the operating interests in the five blocks (S6-A 70%, S6-B 77.5%, A6-D 77.5%, A6-E 80%, A6-G 79.5%).”
- “ENH owns the remaining non-operating interests (S6-A 30%, S6-B 22.5%, A6-D 22.5%, A6-E 20%, A6-G 20.5%).”
CHINA IN AFRICA
Chinese weapons are taking over in Africa
The Economist, May 23, 2024
- “When soldiers from China have made forays onto African battlefields, they have done so cautiously as un peacekeepers. The sales teams that market their weapons overseas are far more gung-ho and have been fanning out across the region—armed with brochures and freebies—in search of new customers.”
- “They are signing deals with an increasingly diverse list of clients, from historic friends to would-be buddies, keen to be kitted out with Chinese weaponry.”
- “Among the weapons China has delivered are warships to Djibouti and Mauritania and drones to Nigeria and Congo, according to a database maintained by the Stockholm International Peace Research Institute (sipri), a think-tank.”
- “It found that no fewer than 21 countries in sub-Saharan Africa took major deliveries of Chinese arms between 2019 and 2023.”
Eurasian Times, May 25, 2024
- “Given India’s importance to the Indo-Pacific (IP), our Africa policy began adjusting to the IP policy. Regionally, India worked through the Indian Ocean Rim Association (IORA) and, in October 2023, was instrumental as its vice-chairman in articulating an IP outlook.”
- “The common objective, as stated by EAM Dr. Jaishankar after the IORA Council of Ministers meeting in Colombo in October 2023, is to promote regional prosperity and keep the Indian Ocean free, open, and inclusive, harmonized with the UN Convention on the Law of the Sea.”
- “India’s commitment to the well-being and progress of Indian Ocean nations as a first responder and net security provider is based on its neighborhood-first policy and the SAGAR outlook.”
- India has opened 18 new embassies in Africa, including in Eritrea, Djibouti, and Somalia, saturating its presence in this region. New positions for defense attachés in Ethiopia, Djibouti, Tanzania, Mozambique, and Rwanda have been sanctioned, adding to existing ones in South Africa and Kenya. This decision aims to enhance political and security engagement across the Indian Ocean.
- This impacts their ability to provide their own security, and they often welcome foreign militaries for maritime issues. Mozambique sought assistance to curb the Cabo Delgado insurgency, with French-backed Rwandan troops enforcing order. In Somalia, support to maritime police saw them become political players, focusing on internal instability rather than coastal protection. Stronger domestic policies must match support for regional militaries to ensure clear hierarchy and control.
A Win-Win or Debt Trap? Decoding China’s Influence in Africa
Modern Diplomacy, May 25, 2024
- “The relationship between China and Africa is complex and constantly evolving. While China’s economic clout presents both opportunities and challenges, Africa is not simply a pawn in a larger geopolitical game. The continent holds immense potential to chart its own course towards a more prosperous and secure future.”
- “By fostering transparency, prioritizing sustainability, and leveraging partnerships with various actors, Africa can navigate the “dragon’s embrace” and emerge as a major player on the global stage. The choices made today will determine whether China’s influence empowers or entraps Africa.”
- “By seizing the opportunities presented by a globalized world and addressing the challenges head-on, Africa can write its own development story, ensuring a future where the elephant stands tall and strong, a symbol of Africa’s resilience and capacity for self-determination.”
Post-COVID, China is back in Africa and doubling down on minerals
Reuters, May 28, 2024
- “China’s engagement in Africa, a focus of the Belt and Road Initiative (BRI), grew rapidly in the two decades before the COVID-19 pandemic. Chinese companies built ports, hydropower plants and railways across the continent, financed mainly through sovereign loans. Annual lending commitments peaked at $28.4 billion in 2016, according to the Global China Initiative at Boston University.”
- “But many projects proved unprofitable. As some governments struggled to repay loans, China cut lending. COVID-19 then pushed it to turn inward, and Chinese construction projects in Africa fell…The $668-million Nairobi Expressway, a public-private partnership built and run by the state-owned China Road and Bridge Corporation (CRBC), could be proof of concept for the model in Africa.”
- “Since it opened in August 2022, the toll road has been allowing commuters to speed above the Kenyan capital’s notorious traffic snarls, beating revenue and usage targets…China’s foreign ministry did not directly address a request for comment on the lower SPV figures for Africa. But it said the government encourages Chinese companies to “actively develop new modes of cooperation” such as PPPs to bring more private investment to Africa.”
Chinese Investment in Various Sectors
Source: www.reuters.com
China’s race to tech supremacy: Embracing Africa
Financial Times, May 28, 2024
- “Here in Nigeria, Chinese tech is the technology people rely on. China’s commercial embrace of Africa only got going in earnest about two decades ago. But over the time I’ve been watching this picture unfold, it’s clear to me that this relationship now runs really deep and Chinese technology is everywhere.”
- “Chinese companies have laid telecoms cables under the streets. Lithium being dug out of Nigerian soil is used by Chinese battery giants. A deep seaport and a light rail system in the city are both funded and built by China. And showrooms for Chinese cars are common throughout Lagos. And then there are apps, Chinese-owned payment apps. They’re used every day in Nigeria.”
- “Transsion is part owner of a wildly popular payment app called PalmPay. It’s one of many banking and finance apps run by Chinese companies in the country. And again, it capitalises on the poor infrastructure and limitations in Nigeria’s financial system.”
South China Morning Post, May 29, 2024
- “Equatorial Guinea is willing to open its doors to China and welcome Chinese companies to invest and cooperate in Equatorial Guinea,” Obiang Nguema said, according to a readout from China’s foreign ministry. He said this would help his country reach economic diversification and industrialisation and achieve sustained and healthy national development.”
- “Obiang Nguema’s trip to China comes amid speculation that China plans to set up a military base on the Atlantic coast of Equatorial Guinea, which China has denied. Washington has variously said China has been wooing Malabo to build a military base, especially at a Chinese-built, deep-sea port in the city of Bata.”
- “But China has repeatedly denied Washington’s assertions it planned more military bases. Beijing has only one base on the continent, in Djibouti in the Horn of Africa.”
- “However, John Calabrese, a senior fellow at the Middle East Institute in Washington, said it was possible that establishing a military base was on the agenda, and that the elevation of relations was a prelude to China providing more help for Malabo’s economic diversification efforts.”
China hosts Arab leaders at forum aimed at deepening ties
The Jakarta Post, May 29, 2024
- “Chinese Foreign Minister Wang Yi raised China’s concerns over disruptive attacks on Red Sea shipping by Iran-backed Huthi forces acting in solidarity with Hamas with his Yemeni counterpart Shayea Mohsen al-Zindani.”
- “China calls for an end to the harassment of civilian vessels and to ensure the safety of waterways in the Red Sea,” state news agency Xinhua quoted him as saying.”
GT Voice: China-Africa amity won’t be undermined by West’s smears
Global Times, May 29, 2024
- “Apparently, after labelling Chinese investment in Africa as a “debt trap” and a form of “neocolonialism,” the West has started to hype China’s hunt for critical minerals in the continent. ”
- “But it is the West that has been plundering Africa’s resources, and the Western concern over China’s interest in Africa’s minerals is essentially a projection of the West’s underlying attitude toward Africa onto China.”
- “Indeed, the West is in no position to judge China’s cooperation with Africa. Today, many African countries with abundant natural resources are still among the poorest in the world, largely due to historical plundering by Western nations.”
- “China’s partnership with Africa extends well beyond the mere extraction of mineral resources. In reality, China’s involvement and investment in Africa encompass a wide range of sectors including infrastructure development, agriculture, healthcare, education, science, technology and more. These collaborative projects have established a strong basis for economic advances and societal development in Africa.”
Chinese premier meets Libyan PM
Xinhua, 30 May, 2024
- “China attaches great importance to developing bilateral relations and is willing to work with Libya to carry forward traditional friendship, enhance political mutual trust, expand exchanges and cooperation in various fields, push bilateral relations to a new level and bring more benefits to the two peoples, he said.”
- “Li said China firmly supports Libya in safeguarding national sovereignty, independence and territorial integrity, and pursuing a development path suited to its own national conditions.”
- “The two countries can further tap cooperation potential under the framework of the Belt and Road Initiative (BRI), and strengthen cooperation on infrastructure construction, he said, adding that China is willing to provide more support for Libya’s development.”
- “It is hoped that Libya will provide a fair and non-discriminatory business environment for Chinese enterprises,” Li said.”
Egypt and China deepen cooperation during el-Sissi’s visit to Beijing
Africa News, May 30, 2024
- “Egypt and China on Wednesday signed agreements deepening their cooperation during President Abdel-Fattah el-Sissi’s visit to Beijing. El-Sissi, accompanied by Egyptian Foreign Minister Sameh Shoukry, witnessed the signing together with Chinese President Xi Jinping in a ceremony that coincided with the 10th anniversary of the Egypt-China comprehensive strategic partnership.”
- “The Egyptian delegation discussed bilateral relations and bringing stability to the Middle East in light of the Israel-Hamas war in Gaza, according to a statement released by the Egyptian presidency. It gave no details.”
- “The agreements include collaboration in China’s Belt and Road Initiative, which brings Chinese companies to build Chinese-funded transportation, energy, and infrastructure projects overseas.”
- “China invested billions of dollars in Egyptian state projects, including the Suez Canal Economic Zone and the new Administrative Capital east of Cairo.”
Facing Chinese competition, Europe struggles to hold its position in Africa
RFI, May 31, 2024
- “Concerned by the growing influence of China in Africa, several other countries quickly launched competing infrastructure initiatives – including Japan’s Free and Open Indo-Pacific initiative, the Asia-Africa Growth Corridor, a joint project by India and Japan, Washington’s Build Back Better World partnership and the EU’s Global Gateway.”
- “The Global Gateway was launched in December 2021 and “aims at mobilising investments of up to 300 billion euros between 2021 and 2027″, according to the EU Commission.”
Can Gulf investors outstrip China in Africa as UAE expands reach?
Al Monitor, June 01, 2024
- “In a major shift, the African investment landscape has been hit by an onslaught of Gulf investors slowly wresting space from Chinese stakeholders. With China having been in the lead as Africa’s biggest investor for at least two decades with investments in 2023 hitting nearly $11 billion – such large-scale competition could disrupt the standing of Beijing’s Belt and Road Initiative (BRI), launched there in 2013.”
- “According to a May 18 report by the Economist Group’s research and analysis division, the Economist Intelligence Unit (EU), the Gulf Cooperation Council (GCC) member states – especially Saudi Arabia, the United Arab Emirates (UAE) and Qatar – have exponentially expanded their footprint across the African continent in recent years.”
Absa aims to use new Beijing office to strengthen China-Africa business ties
South China Morning Post, June 03, 2024
- “Absa Group, one of Africa’s largest diversified financial services companies, aims to build stronger ties with Chinese firms as part of its global expansion strategy, amid growing investment and trade between China and Africa.”
- “The Johannesburg, South Africa-based bank will focus on strengthening relations with state-owned entities, private companies, banks and development finance organisations via its subsidiary, which officially launched in Beijing in early May, according to Klaus-Dieter Kaempfer, CEO of Absa China.”
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