Country in focus
D
espite political uncertainties and risks, Côte d'Ivoire
continues to attract investors. A new mining code
introduced in 2014 with the aim of making the country
more amenable for exploration and mining, has reaped rewards.
The result is a growing list of junior miners and established mining
companies settling in the West African state.
The country has one of the best port facilities in West Africa
—Abidjan — and great strides are being made to improve road
infrastructure. With a government keen to increase mining’s
contribution to the gross national product, Côte d'Ivoire’s
reputation as a world-class mining destination is gaining traction.
According to Ibrahim Danso, president at Groupement
Professionel des Miniers de Côte d'Ivoire (GPMCI), which is
the national minerals industry association, the mining industry
currently accounts for almost 2% of the GDP growth. However,
he adds, the goal is to increase that number to 10% in the next five
years. “We expect to see the development of one new mine per
year in the country for the next 10 years,” he says. Danso says that
the 2014 mining code has resulted in substantial benefits to the
mining sector, which is reflected best in production levels. From
2014 to 2018, manganese production, for example, has doubled
from 300 000 megatons per year (mt/y) to 600 000mt/y.
www.africanmining.co.za
Furthermore, nickel production grew from zero to 800 000mt/y,
while gold production improved with about 40% from 630 000
ounces per year (oz/y) to 900 000oz/y.
Major mining companies operating in Côte d'Ivoire include Randgold
(now Barrick), Endeavour Mining, and Perseus Mining. Perseus started
pouring gold at its Sissingué gold mine in January last year. Endeavour
established the Agbaou gold mine in 2014 and still operates Ity, the
longest-serving gold producer in the country, having started production
in 1991. Barrick’s Tongon Mine consists of two opencast operations and
produced 288 680oz of gold in 2017. Other gold producers active in
the country include Newcrest, Centamin, Teraga Gold, and IronRidge
Resources. IronRidge is also pursuing lithium deposits in Côte
d'Ivoire. Smaller explorers include companies like Sama Resources,
Kobo Resources, Toro Gold, Teranga Gold, and Orca Gold, who just
announced a new resource on their Morondo property.
Political uncertainty
Despite the gains, there are certain concerns and challenges,
including political uncertainty. Although the devastating civil war
came to an end in 2011, relations between factions and interest
groups remain cordial. According to risk management company
Signal Risk, the potential return of former president Laurent
Gbagbo is a cause of great concern.
Barrick’s Tongon plant in Côte d’Ivoire.
MAY - JUNE 2019 AFRICAN MINING
17