Mine excursion
Lithium:
Namibia’s
cure or curse?
Desert Lion Energy’s operation in Namibia remains an exciting
project, despite the recent slump in the price of lithium, writes Leon
Louw, who recently visited the mine during a road trip to the country.
A
t first glance, Karibib is just
an ordinary Namibian
small town. Dusty streets,
a few drowsy dogs, and keen fuel
attendants; nothing more to write a
story about — one would think. Yet,
Karibib once played a leading role
in the railroad network of Namibia.
The historic railway station,
completed in June 1900, linked
the west coast to the Namibian
interior; something that came in
handy for mining companies that
started operating in the area a few
years later. The town blossomed,
but its development was stopped
in its tracks when some 20 or 30
years later, the town ran out of
drinking water, and most activities
and business opportunities migrated
west to Usakos, about 34km from
Karibib, on the way to the harbour
of Walvis Bay and the coastal town
of Swakopmund.
Geologically, Karibib is located
in the Damara metasedimentary
belt. For geologists and explorers,
this means granites, schist, marble,
pegmatite, lepidolite, petalite,
tantalite, and gold. For artisanal
collectors of gemstones, it means
crystals as well as tourmaline and
beryl, which they sell in large
quantities on the sandy roadsides
of the Erongo region. For travellers,
www.miningmirror.co.za
it means breathing in fascinating,
ancient landscapes shaped by eons of
unrelenting erosion.
The marble factory on the corner
of Kalk Street and the white
reflection from a number of distant
koppies welcome visitors to Karibib’s
marble country. Once the domicile
of wealthy German traders, the
many marble quarries that dot the
landscape, and even the factory, have
fallen into the hands of Chinese
operators — an indication of
Namibia’s new reality, where Chinese
influence is growing day by day.
Gold mining in Karibib
As one enters Karibib, there is a sign
to Navachab, which is a gold mine
once owned and operated by global
mining giant AngloGold Ashanti.
Navachab was discovered in October
1984 after an extensive exploration
programme and poured its first gold
in 1989. It was originally owned by
the Erongo Exploration and Mining
Company (70%), in partnership
with the Metal Mining Company
of Canada (20%) and Rand Mines
Exploration (10%). AngloGold
acquired a 70% interest in the mine
in 1998, after which it bought all the
shares in 1999. In 2004, AngloGold
and Ashanti merged to form
AngloGold Ashanti.
Like all other gold deposits in
Namibia, the grades at Navachab
are reasonably low. The mine has
never really lived up to expectations
and had to overcome several
challenges during the almost 29
years of operation. In June 2014,
AngloGold Ashanti sold Navachab
to QKR, a private company in which
Namibia’s state-owned mining
company Epangelo is a partner.
QKR has struggled to make ends
meet, but Navachab is still operating.
Nevertheless, all is not lost for gold
hopes in the hills and hummocks of
Erongo: There are known deposits
of gold in the region (including in
the Karibib) and a number of gold
exploration companies have set up
base in the harsh semi-desert.
Scouring for pegmatites
But I visited Karibib for another
reason: I wanted to get a glimpse
of Canadian company Desert Lion
Energy’s lithium project and the
famous pegmatites of the Damara
Belt. At the same time, I was hoping
to gain a better understanding
of what the fuss about lithium is
all about. Lithium and cobalt are
punted by many investors as the
mineral of the future, as more and
more electric vehicles are rolled out
from the factory floors.
NOVEMBER 2018 MINING MIRROR
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