COUNTRY IN FOCUS •
The upside potential The case for Ethiopia remains its undeniable geological endowment and the " ground floor " opportunity. The Arabian- Nubian Shield is one of the last under-explored mineral districts on Earth. It is the same formation that hosts the massive Sukari mine in Egypt and Ma’ aden’ s operations in Saudi Arabia. Ethiopia holds the southern tip of this shield. The potential for a tier-one discovery( 5 million + ounces) is statistically high.
Ethiopia’ s strategic location and logistics is obvious for the region, with the Addis Ababa-Djibouti railway providing a bulk freight corridor to the port of Djibouti, which is crucial for the future export of bulk commodities like potash or lithium concentrates.
The Ethiopian government views mining as the " second pillar " of the economy after agriculture. This political will is translating into tangible support, such as the direct equity investment in Akobo Minerals and the sovereign backing of the Tulu Kapi financing.
Conclusion Ethiopia’ s mining sector has graduated from a " potential " narrative to a " production " reality. The commencement of gold pours at Segele, the imminent construction of Tulu Kapi, and the entry of global major Zijin Mining via the Kurmuk project act as a powerful tripod of stability for the sector.
While security and foreign exchange challenges persist, the successful financial close of major projects suggests that the riskreward ratio has shifted in favour of the investor. For the first time in modern history, Ethiopia is not just exploring; it is mining. •
Supplied by Dr Nicolaas C Steenkamp
Dr Nicolaas C Steenkamp is an independent consultant, specialising in geological, geotechnical and geometallurgical projects and mining project management. He has over two decades of industry experience with global exposure.( ncs. contract @ gmail. com)
Key among these was the liberalisation of the foreign exchange market in mid-2024, a move designed to eliminate the crippling hard-currency shortages that had previously made repatriating profits and importing machinery nearly impossible for miners.
www. africanmining. co. za African Mining • April 2026 • 17