The document discusses perspectives for developing Cameroon's mining sector to support important development projects. It provides background on Cameroon's economy and geology. It then discusses some of Cameroon's major development projects in areas like infrastructure, housing, energy and agriculture. As a case study, it outlines how the proposed Mbalam iron ore project could help fund projects by generating billions in revenues, but it was halted by falling commodity prices. Realizing large projects through mining may face difficulties with governance and economic crises.
Developing Cameroon's Mining Sector to Fund Infrastructure Projects
1. Perspectives for the development of the
mining sector to implement important
development projects in Cameroon
Round table, Conference Hall, University of Dschang
May 17th , 2017
By:
Mr, Rodrigue, FOTIE LELE
Engineer
Mining Geologist
2. Content
• Introduction: Cameroon in brief
• Cameroon important development projects
• Unpacking the realization of important projects through the mining
sector development: The case Mbalam Iron Ore
• Conclusion: Possible difficulties
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4. Introduction (2) GDP (PPP) 2017 estimate
• Total $81.535 billion
• Per capita $3,358
GDP (nominal) 2017 estimate
• Total $29.547 billion
• Per capita $1,217
Independence from France
• Declared 1 January 1960
•Union with former
British Cameroon
1 October 1961
Area
• Total 475,442 km
2
(183,5
69 sq mi) (54th)
• Water (%) 0.57
Currency Central African
CFA franc (XAF)
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Other
- Capital City: Yaoundé
- Languages: French & English
- ethnic: about 250
- Access to water & Energy: less 50%
- Road infrastructure: about 5 000 km
- Railway: less than 1 000 km
5. Introduction (3)
Cameroon Geology
- Geologic scandal ( Congo
Craton & Panafrican)
- 52 Mineral Indices to be
explore
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17th, 2017 5
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Itabirite iron ore of Cameroon
(Magnetite-Hematite rich ore )
Diamonds of East
Cameroon
Crude gold ready to be blown to
remove others mineral particle
8. Introduction (5)
Cameroon Mining
- 167 exploration permits (2003 to
2010)
- Prefeasibility studies or iron
and cobalt,
- Few exploitation permits
(marble, limestone, pozzolana )
mainly for quarries and cement
plants.
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10. Cameroon important development projects
• Deep seaport of Kribi (about XAF 1 952 Bn )
• Road development (Maintenance and new road and highway)
• Solving the gap of 1,2 Mn of Social Housing
• About 18 Hydroelectric Dams (Lom Pangar, Men Nvele, Mekin, Natigal, Song
Mbegue, Bagangte …etc) about XAF 3 700 Bn
• Railway network to link Cameroon to the others countries of the
sub region and opening up the agricultural basins( XAF 14 976,5 Bn to
increase the GDP to 4,75% / annum until 2040)
• Modernization of agricultural production en industrialization
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11. Unpacking the realization of important projects
through the mining sector development (1)
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The case Mbalam Iron Ore Project
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The government take at
the 10% discount rate is
39,8 % for the Mbalam
Iron Ore Convention
Then it is located between
Chile and Australia fiscal
regime
That generated about
US$ 800 Million
The royalty is 2% that give
about US$ 40 Million
16. Cameroon Infrastructure
Mbalam Iron Ore Convention expected
to unlock the important development
- Railway : 602,6 km; 5 Bn USD to be build.
- Kribi Deep seaport : mineral terminal; 480 Mn
USD for the 1st stage almost done.
- New city of Kribi : modern Infrastructure
- International Kribi airport
Unfortunately, fall in global commodity prices
stopped all activities and expectations of the 2 Bn
USD revenue
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17. Unpacking the realization of important projects
through the mining sector development (1)
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The case Mbalam Iron Ore Project
The cost of the 1st phase of the highway Yaoundé-Douala the
first in Cameroon is about US$ 550 Millions
If the project of Mbalam was implemented, the government
could take 2 years to build the Douala-Yaounde Highway.
And more for the other years.
19. Thank you
for your kind Attention
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Mr, Rodrigue, FOTIE LELE
Head Division of Distance and Continuous Training
School of Geology and Mining Engineering,
University of Ngaoundere
Cameroon