30 Jul 2014

It is estimated that in five years’ time the number of operational mines in Botswana will be more than double the existing ones at the minimum with prospects of significant employment base, says the chief executive officer of Botswana Chamber of Mines, Mr Charles Siwawa.

Mr Siwawa said the country was endowed with huge mineral wealth per capita and more minerals were still being discovered around the country noting that technical skills would always remain a challenge not only in the country but the world over.

He said when addressing participants at Botswana Base Metals Beneficiation workshop organised jointly by Ministry of Minerals, Energy and Water Resources together with the Botswana Chamber of Mines to bring stakeholders together and share ideas for the development of base metals beneficiation strategy.

Mr Siwawa said where one used to rope in skilled manpower from the region or indeed internationally such would not be readily available in future. 

He said saving grace was that the country now with economic power base had the ability to develop its own skills to meet the demands.

He observed that historically, base metals were produced to concentrate levels and shipped to other countries where electric power and skills were readily available. 

He said there were technical papers that seem to point towards local beneficiation being preferred than shipping concentrate.

“In all the papers, the significant pointers are that power must not only be available in abundance but equally at low tariffs as the furnaces consume huge wattages,” he added.

Mr Siwawa noted that skilled manpower was an absolute requisite as the processes tend to be elaborate with mineral, processing, pyromentallurgy and hydromentallurgy application being required to some detailed extent.

He said the benefits with beneficiation of any mineral must lie with the value added as opposed to selling at base price noting that the opportunity cost of selling a semi-finished product against a completed product could not be over-emphasised.

He said the opportunity for employment in the country and subsequent tax revenue stream to government was a factor that cuts across all beneficiation papers. 

Mr Siwawa said that could not be ignored against the background of current unemployment statistics.

Presenting about the demand supply outlook, Mr Siwawa said there was a significant increase in copper consumption of copper due to population growth. 

He said the global supply and demand would not meet long term demand unless new mines were built.

He said by 2017, there would be a deficit if no new mines noting that the price of copper would also rise because it could not meet the demand. 

Regarding iron ore, he said it was still at an early age in Botswana.

Mr Siwawa emphasised the need to create strategic partnership with other countries to sustain the desire to beneficiation minerals noting that China and India had a high demand of iron.

The Minister of Minerals, Energy and Water Resources, Mr Kitso Mokaila encouraged mining companies to ensure beneficiation happens.

Mr Mokaila said they should look at the bigger picture of national interest and improve what they had.

He also warned the mining companies to employ best Batswana who were qualified adding that no skills should be imported. 

He said government had taken a decision to instruct Ministry of Labour and Home Affairs to put an eye on all mining sector to ensure they adhere. 

“We are not going to bring in skills to the country which we already have, you should create jobs for the locals and make the economy vibrant,” he said. ENDS