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KEY FACTORS TO UNLOCK THE MINING ACTIVITIES IN CENTRAL AFRICA REGION By Balbine Pascaline OMGBA Geologist, President and founder of AFEMIC Chairperson of REFESMAC Tel: +237 675 320 084 E-mail : balbineomgba@yahoo.fr PLAN INTRODUCTION I-


  1. KEY FACTORS TO UNLOCK THE MINING ACTIVITIES IN CENTRAL AFRICA REGION ¡ By Balbine Pascaline OMGBA Geologist, President and founder of AFEMIC Chairperson of REFESMAC Tel: +237 675 320 084 E-mail : balbineomgba@yahoo.fr

  2. PLAN INTRODUCTION I- PRESENTATION OF CENTRAL AFRICA SUB REGION II- MINERAL POTENTIAL, CHALLENGES AND OBSTACLES ¡ IV- STRATEGIES AND APPROACHES TO IMPLEMENT ¡ ¡ CONCLUSION AND RECOMMENDATIONS

  3. INTRODUCTION Mineral resources are very important for the development of countries. The countries of the CEMAC zone have long focused their attention on the hydrocarbons which constitute the very basis of their exportation with over 43% contribution to the GDP for certain countries (UN-ECA, 2018). The mining potential of the CEMAC countries rich and varied has long been neglected. With world-class deposits, industrial mining activity remains low compared to other sub-regions in Africa and its contribution to GDP remains low. The impact on socio-economic development is not negligible but not very noticeable at the community level. Joint actions have been undertaken but have not always resulted in the emergence of an industrial mining sector in Central Africa. The implementation of the AMV by the states could allow to review the strategies and approaches of a new development of the solid mine in Central Africa.

  4. I- PRESENTATION OF THE CENTRAL AFRICA SUB REGION CEMAC (Economic and Monetary Community of Central Africa), established by the Treaty of N'Djamena (Chad) of March 16, 1994. Includes 6 countries: Cameroon, Congo, Gabon, Equatorial Guinea, Central African Republic and Chad. Its population is estimated at 60 millions inhabitants. Strategic position: 4 countries with openness to the sea. Significant potential in natural resources (forests, hydrocarbons, mineral resources etc.)

  5. II- MINERAL POTENTIAL a. Data by country Precious ¡ Precious ¡ Non ¡ Industrial ¡ Country Base ¡metals Rare ¡earth ¡ metals stones metals minerals Cameroon Gold Diamond, ¡ Iron, ¡nickel-­‑cobalt, ¡ Uranium, ¡ ¡ Limestone, ¡ sapphire manganese, ¡bauxite ¡ <n marble (aluminium), ¡ru<le Congo Gold ¡ Iron ¡ ¡ Potash Gabon ¡ ¡ Iron, ¡manganese, ¡niobium, ¡ Uranium ¡ Barite molybdenum, ¡copper Equatorial ¡Guinea ¡ ¡ ¡ ¡ ¡ Evalua<on ¡ in ¡progress Central ¡African ¡ ¡ Diamond ¡ Uranium ¡ ¡ Republic Chad ¡ ¡ ¡ ¡ ¡ Evalua<on ¡ in ¡progress Source: data synthesis of Verheve (1986) and annuals evaluation reports of the operating activities of the countries geology directorates The ¡mining ¡poten<al ¡of ¡the ¡CEMAC ¡countries ¡is ¡rich, ¡diversified ¡and ¡some<mes ¡poorly ¡known... ¡

  6. II- MINERAL POTENTIAL b. Activity level by country Country Level ¡or ¡status ¡of ¡ R e c o v e r y ¡ o r ¡ ContribuAon ¡ Economic ¡degree ¡of ¡ acAviAes processing ¡industry to ¡the ¡GDP impact ¡ in ¡ mining ¡ Explora<on ¡ Exploita<on ¡ areas Cameroon Intense Exis<ng Exis<ng 1,0 Low Congo ¡ Normal Inexistent Inexistent 0,0 ¡ Gabon Normal Normal Exis<ng 3,6 Medium Equatorial ¡Guinea Inexistent Inexistent Inexistent 0,0 ¡ Central ¡African ¡ Normal Normal Inexistent 2 ¡ Republic Chad Normal Inexistent Inexistent 0,4 ¡ Sources: Country economics reports, General Directorate of the Treasury (GDT) and National Institute of Statistics (NIS), 2015.

  7. c) ¡Impacts ¡of ¡mineral ¡resources ¡on ¡socio-­‑economic ¡development ¡in ¡CEMAC ¡zone ¡ ¡ The impact of mineral resources on socio-economic development is not negligible, but not always perceptible in the local economies of the countries. Despite the great potential, the mining sector in the CEMAC zone is struggling to take off. Several constraints and obstacles could explain this situation. v Difficulties in accessing to mining information; v Lack of cartography of related business v Directories of opportunities; v Weak monitoring and evaluation systems; v Lack of good infrastructure; v Lack of trading platform; v Enclavement of deposits; v Disparate and inconsistent taxes which induce a weak mobilization of the revenues; v Absence of retrocession at the local level of which a weak local development;

  8. IV- STRATEGIES AND APPROCHES TO IMPLEMENT a) National policy, laws and rules and coherence with the VMA Most countries in the CEMAC zone have a strategic document that considers the mining sector as an important development lever, given to the value chain that can be induced. Improvement of legislative and regulatory frameworks in various countries to bring them into line with the guiding principles of the African Mining Vision (below average -50%). New strategies and approaches need to be put in place to reduce and remove barriers and constraints to the development of the sub regional mining sector: 1. Optimization of the knowledge of the geological and mining information; 2. Human and institutional capacity building; 3. Effective management of the potential of artisanal and small scale mining opportunities; 4. Taking into account the principles of sustainable development; 5. Development of a mineral industry; 6. Promotion of a mining sector based on mechanisms of transparency and social responsibility; 7. Promotion of good governance for a sustainable mining sector;

  9. b) Sub regional cooperation Despite the weak implementation of the principles of governance of the VMA in the laws and regulations of countries of the CEMAC, there are actions of cooperation between the states. 1. Joint exploitation project of the iron deposits of Mbalam in Cameroon and Nababa in Congo; 2. Bilateral agreement between Congo and Cameroon on transboundary transport of minerals by rail (to facilitate construction operations, to allow the connection of transport systems and the conditions of movement of products); 3. Mbalam and Nabeba Mineral Blend Agreement (generating market value and high yield for the project); 4. Initiative of harmonization of the mining regulations (platform of conformity and / or harmonization of the key contents).

  10. C) Central Africa Mining Investment Conference (CAMIC 2019) • CEMAC and respective governments are seeking to develop their mining and mineral industries and encourage further exploration and project development. Common CEMAC mining code in preparation will be designed to attract investors and encourage greater mining investment. More than 100 mining conferences and related forums are held in the African continent each year, but in the CEMAC zone, the heart of Africa, no mining meeting (Conference and Forum) has been held despite the high potential of the sub region in terms of mineral deposits! • The Central Africa Mining Investment Conference (CAMIC) will be the annual meeting of different stakeholders for Central Africa. Its noble mission is to give a new impetus to mineral exploration and exploitation within the sub region, therefore allowing the sub region to meet the AU mining vision for 2063 • d) Project Development Initiative to be submitted for investment • Many projects in the CEMAC zone are still embryonic; at a level of knowledge that does not interest mining investment, so it is a question of consolidating these projects to make them attractive to financing available on the markets.

  11. • e) Increased participation of women in the development of the mining sector. ¡ In ¡ Central ¡ Africa, ¡ women ¡ are ¡ represented ¡ between ¡ 15% ¡ and ¡ 25% ¡ in ¡ the ¡ mining ¡ ac<vi<es. ¡ They ¡face ¡many ¡barriers ¡and ¡constraints ¡in ¡the ¡development ¡of ¡their ¡ac<vi<es. ¡ ¡ ¡ There ¡ are ¡ many ¡ opportuni<es ¡ in ¡ the ¡ mineral ¡ value ¡ chain ¡ and ¡ at ¡ all ¡ levels ¡ (jobs, ¡ entrepreneurship ¡etc.). ¡ The ¡establishment ¡of ¡na<onal ¡and ¡sub-­‑regional ¡mining ¡associa<ons ¡is ¡an ¡important ¡leverage ¡ in ¡ this ¡ dynamic ¡ that ¡ consecrates ¡ women ¡ as ¡ a ¡ major ¡ player ¡ in ¡ their ¡ development. ¡ These ¡ plaVorms ¡are ¡forums ¡for ¡making ¡informa<on ¡available ¡to ¡women, ¡publicizing ¡opportuni<es, ¡ advoca<ng ¡for ¡gender ¡issues ¡in ¡the ¡mining ¡sector ¡to ¡be ¡taken ¡into ¡account ¡in ¡na<onal ¡laws, ¡ with ¡emphasis ¡on ¡local ¡content, ¡implementa<on ¡and ¡respect ¡of ¡quotas ¡for ¡women. ¡

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