Cameroon’s mining potential

CAMEROON’S MINING POTENTIAL

1. World-calibre mining deposits:

- Cobalt and nickel near Lomié: an estimated 200,000 tonnes of cobalt from only 5% of the deposit, which represents roughly 7 years of global demand;

- Rutile: the world’s second-largest reserve after Sierra Leone’s;

- Bauxite: world’s fifth-largest reserve, estimated at more than one billion tonnes of ore (Minim-Martap, Ngaoundal and Fongo Tongo deposits…).

2. Major mining deposits:

IRON

The Mbalam iron deposits, with over 800 million tonnes, of which 200,000 have a grade of more than 60% iron. The Mamelles deposit (near Kribi), with about 330 million tonnes at an average grade of 30 to 35% iron.

TIN and COLOMBO-TANTALITE (COLTAN)

The Sicamine firm is currently exposing, in the Mayo Darlé region, one of the largest deposits of tin and coltan.

NEPHELINE SYENITE

One of the world’s largest deposits.

3. Major potential for precious substances:

GOLD

Important potential in the East, Adamawa, North and South provinces.

DIAMOND

Two artisanal mining zones in the Kété and Mobilong region near Yokadouma (East), but important prospects seen along the Central African Republic border.

SAPPHIRE

Artisanal mining of large concentrations of sapphire, associated with other precious stones, in 4 of the 5 divisions of Adamawa province.

4. Noteworthy deposits:

HYDROCARBONS

Basins along the coast as well as intracontinental basins, notably the Logone-Birni Basin contiguous with the Doba Basin in Chad, the Garoua Basin, and the Mamfe Basin.

URANIUM

A small deposit in Poli (North province) and countless other prospects to develop.

5. Ornamental stones:

Notably, black granite at Eyeck and quartzite at Pouma and Monatelé.

LIMESTONE

Limestone mined at Figuil is used in cement works. The reserves are of about 600,000 tonnes.

MARBLE

Two deposits exist, one at Bidzar and the other at Biou, with mine production of 5,000 tons per year. Reserves are estimated at 2,500,000 tonnes.

CAMEROON’S MAJOR MINING SITES

From the 50 prospecting licences issued, eight major projects have been identified, having effectively begun work. Direct foreign investment is estimated at 4,377 million CFA francs, supplemented by 4.5 billion from the African Development Fund’s Heavily Indebted Poor Countries (PPTE) debt initiative for the CAPAM project. The operators hail from a variety of countries, among them Cameroon, the United States, Britain, Australia, Denmark, Korea, South Africa and Canada. Some 27,300 direct jobs are expected to be generated.

CAPAM Project

Integrated, nation-wide project for local development based on the upgrading of mineral resources. CAPAM (“artisan mining support and promotion framework”) has identified 28 pilot mining sites across 28 arrondissements, 18 divisions and 6 provinces, involving gold, diamond, sapphire, rutile, tin, salt, ornamental stones, and more. The first phase of the project was eligible for PPTE financing and received funding of 4.5 billion CFA francs over three years.

Geovic Project

Upgrading of cobalt, nickel and manganese near Lomié (Upper Nyong division). The world’s largest cobalt reserve, with planned first-phase production of 4,000 tonnes of cobalt, 3,000 of nickel and 8,000 of manganese, and an expected subsequent doubling during a second phase.

Geovic is a US-Cameroon joint venture with a production licence. The project requires 55 billion CFA francs in financing.

Hydromine Project

- Upgrading of bauxite at Minim-Martap and Ngaoundal. A US-Cameroon joint venture with a prospecting licence. The world’s fifth-largest reserve, with 1 billion tonnes of bauxite. This ambitious project requires 3,000 billion in financing. Technical/financial partners include Dubal (bauxite, alumina), Hindalco 5 (alumina, energy) and KFW (infrastructure).

Cam-Iron Project

Upgrading of iron in the Mbalam region (Upper Nyong). 800 million to one billion tonnes of high-grade iron and a production forecast of 35 million tonnes per year. The first yield is slated for 2011. Cam-Iron is an Australia-Cameroon joint venture.

Sicamine Projects

Upgrading of rutile, tungsten, tin, coltan and nepheline syenites:

a) Rutile

World’s second-largest reserve, after the one in Sierra Leone.

b) Colombo-tantalite and tin at Mayo Darlé (Mayo Banyo division)

Work currently in progress to expose a world-calibre deposit of tin and coltan.

c)     Nepheline syenites at Eboundja (Kribi)

One of the world’s largest deposits.

d)   Tungsten at Goutchoumi (Bénoué)

Production of tungsten (wolfram) as an oxide.

NU ENERGY Project (a Canada-Cameroon joint venture)

a) Uranium from Lolodorf (Ocean division), Kitongo (Poli), Teubang (Mayo Kani)

Mining, upgrading and processing of uranium.

b) Nickel and cobalt

Upgrading of nickel and cobalt at Lomié.

C&K MINING Project

Joint venture of CAPAM and Korean investors for the upgrading of diamond in the Mobilong region (Yokadouma division). The deposit forms a 50 km x 5 km lens.

CAMINCO Project

Joint venture of CAPAM and Danish and South African investors for the upgrading and processing of gold at Bétaré Oya–Bindiba, near Garoua Boulai in the Lom-et-Djerem division (East province). An important reserve.