This article:
http://www.eritrean-smart.org/content/eritreaat24-series-may-9th-eritrea-blossoming-beautifully-24
EritreaAt24 Series:
http://eritrean-smart.org/search/node/EritreaAt24%20Series
*Eritrea: Blossoming beautifully at 24!*
By: Yemane Abselom
Eritrea has had a long history of mining industry starting with
colonization period when Italy had established mining industry at Karora,
Debarewa, and Augaro. After independence, the government of Eritrea passed
a mining law that fosters a favorable environment for foreign investment in
the sector knowing full well it could play a crucial rehabilitating role in
its war devastated economy. Eritrea has many benefits it can offer
potential investors. It has a safe and stable government with an educated
and disciplined work force; its strategic location along the Red Sea has an
added benefit to investors. As such, Eritrea has attracted close to 17
exploration companies from all over the world. Companies from China,
Russia, UK and Australia, to name just a few, have several companies in
Eritrea that are participating in its mining sector.
Eritrea's mining law, while fostering a favorable environment for
investors, also ensures that the Eritrean people receive their fair and
equitable share. The people of Eritrea through their government are
partners in each mining ventures. For example, the Colluli potash
exploration project in the Danakil Depression in South East Eritrea is a
50-50 joint venture between South Boulder Mines (ASX: STB) and the Eritrean
National Mining Company (ENAMCO). The mining laws include monitoring and
strict adherence to international accepted practices. As such, Eritrean
mines have one of the best safety records in the world. In addition, mining
in Eritrea is anchored in laws that are designed to protect the
environment. Eritrea doesn't want to punish future generations with
careless mining practices.
If you have been lucky enough to visit Eritrea and roam outside the
capital city, you have most likely walked over some kind of precious metal.
The government of Eritrea's geologic map of 1:1,000000 scale covering the
whole country shows that about 60% of the Eritrean landmass is covered by
sedimentary rocks that tend to host metallic minerals. These metallic
minerals include gold, silver, copper, zinc, barite, limestone, granite and
rare earth metals like tantalum and much more. Gold, silver, copper and
zinc have been found in almost all parts of the country. Exploration
activities in the last decade have shown the presence of gold deposits in
the western lowlands (Bisha and Harena), South and Southwestern lowlands
(Shillalo), Central highlands (Debarwa and Adi Nefas), and in the northern
part of the country.
Eritrea is currently in the production and distribution phase on several
minerals. Its 1,200 km coastline has large deposits of common salt (NaCl)
that has been in production for decades. Large quantities of high quality
“silica” are found at Merbet, which are being used for glass manufacturing.
Black and gray marble and granite around Decamhare have been used as
construction materials for many years. A Canadian Company, Nevsun Resources
Ltd (AMEX: NSU), has finished gold production in 2013; at the moment is
extracting copper while making preparation to extract zinc; all these from
its single pit at Bisha. The Zara Mining Share Company run by the Chinese
company SFECO is expected to become Eritrea's next gold producer in 2016,
followed by Canada’s Sunridge Gold Corp (TSX: SGC). Also in 2016, an
Australian company, South Boulder Mines, Ltd. (ASX: CHN) is supposed to
produce potash, a precious mineral used in fertilizers. Other companies are
also at various stages and should be producing results in the near future.
Eritrea’s mining sector has even greater potential. The Arabian-Nubian
Shield has shown potential for rare earth metals like Tantalum. Tantalum is
used in electronic equipment such as mobile phones and video games. In
addition, Eritrea's Red Sea coastline has shown a very good indication of
hydrocarbons, which are markers for oil and gas. In addition to these the
the Red Sea Rift area has a strong geothermal potential that can be
exploited for power generation.
Eritrea's 24 years of independence have been marked by war, drought,
sabotage from within and outside, unfair and illegal sanctions, illegal
occupation of its territories and unwarranted hostilities by a US-lead
west. Despite it all, Eritrea's government has used its fair share of
mining revenue for the benefit of all Eritreans by focusing on projects
that benefit all. Eritrea pins its hope not on gold or silver, but on its
even more precious and priceless resource: its children. Its achievements
in the last 24 years in providing health and education services, in water
conservation, food security, and infrastructure development indeed has been
remarkable and its promise is inspiring.
Happy 24th Independence.
* Eritrean Mining Journals were a major source for this article
Received on Sat May 09 2015 - 09:15:16 EDT