South Africa: Norilsk Eyes South African Platinum - Platinum's investment potential could exceed that of gold, Russia's Norilsk Nickel told the Investing in African Mining Indaba in Cape Town on Tuesday. According to reports, the world's largest producer of nickel and palladium is looking at platinum mine acquisitions in South Africa. Norilsk Nickel is the joint owner - with South Africa's African Rainbow Minerals - of a 50% stake in the Nkomati Nickel Mine in Mpumalanga province. Norilsk said it regarded Nkomati as being "of great importance as a major investment project in South Africa", adding that its total investments in the project already exceeded US$200-million. Norilsk also owns 85% of the Tati Nickel project in neighbouring Botswana. Panov told Reuters that the company veiwed Botswana as well as Zimbabwe, the Democratic Republic of Congo, and Zambia as "potential regions for further development" in Africa.
SOUTH AFRICA: SA-Swiss venture to build R1.6bn pharmaceuticals plant South Africa will set up a R1.6-billion plant to manufacture active pharmaceutical ingredients (AIPs) for antiretroviral medicines (ARVs) in a joint venture with Swiss group Lonza, Science and Technology Minister Naledi Pandor announced on Friday. Construction is expected to start in early 2013.
SOUTH AFRICA: Air Liquide to build R400m SA plant after securing Evraz Highveld deal ENG NEWS By: Terence Creamer 6th February 2012 = Industrial gases group Air Liquide reported on Monday that it would invest some R400-million in a new 770 t/d air separation unit (ASU) in South Africa after concluding a 20-year oxygen supply contract with JSE-listed steel and vanadium producer Evraz Highveld.
Construction of the new ASU, which would be located alongside the steel mill, would start once the environmental authorisation had been secured and it was expected to be commissioned by the end of 2013. The new ASU, which would be designed by Air Liquide engineering and construction teams, would also produce liquid oxygen, nitrogen and argon to meet growing demand from South Africa’s industrial merchant market.
TANZANIA: Ntorya-1 Well in Tanzania Encounters Only Minor Gas Shows February 07, 2012 - Aminex and Solo Oil are waiting on drill results before working out whether to proceed with drilling.
Tanzania: Improvement of Roads in Rural Areas Crucial Tanzania Daily News (Dar es Salaam) By Christopher Majaliwa, 9 February 2012 — LEGISLATORS have pressed for the establishment of Rural Roads Agency for proper supervision of road projects and smooth transportation of agricultural products, the shortfall believed to undermine rural development. In his supplementary question to the Ministry of Agriculture, Food and Cooperatives, the member of parliament, Zitto Kabwe (Kigoma North - Chadema) said studies have revealed that poor road condition in rural areas were the main cause of poverty. "Research findings show that poor infrastructure remained the biggest challenge in efforts to eliminate poverty through agricultural activities usually conducted in these areas", He said.
Etablishment of Rural Roads Agency is the best approach to redress the situation," he said. In support of the suggestion by the Zitto, the MP Dr Binilith Mahenge (Makete-CCM) said the government should take seriously the need to improve the infrastructure in rural areas in order to speed up development.
Tanzania: Local Electrical Cables Firm Opens Arusha Branch to Reach Customers - East African cables Tanzania Limited (EA Cables) to open a new branch in Arusha a move which will see contractors and domestic cable users have access to cables without experiencing extra travel costs.
Tanzania: More Taxes to Make Mining Sector Less Attractive – Report The Citizen (Dar es Salaam) 9 February 2012 - Dar es Salaam: Huge investments in nickel, uranium and coal mining in the next few years would diversify the mining sector significantly, according to the quarterly Tanzania Mining Report issued by Business Monitor International (BMI). But the sector could become less attractive to investors given the country's push to increase regulation and raise taxes, the BMI's first quarter report released last week says.
"The country has long been a significant producer of gold and diamonds. However, in the coming years, we expect coal, nickel and uranium production to become key sub-sectors of Tanzanian mining output. Several anticipated mining projects will transform the country's mining sector and reduce Tanzania's dependence on gold as an export earner," says the report. Tanzania is home to some of the largest untapped high-grade nickel deposits in the world, most of which is of relatively high grade and cash cost, the BMI report adds.
While other countries, such as Ghana, Peru and South Africa, are also seeking to raise taxes on mining companies, Tanzania is going significantly further with plans to introduce an Australia-style of 35 per cent tax on mining companies' profits and raising royalties.
"Because of more expected investments in coal projects in the southern highlands of the country gold and nickel projects in south west as well as copper projects in the west, the mining sector is set to grow in the next few years. But emphasis will be on oil and gas because it is more attractive," said Mr Kabwe, who is a Chadema MP for the Kigoma North constituency. In coal mining investors have started trooping in. A Chinese firm, Sichuan Hongda is set to invest $3bn in the country to build a coal mine at Mchuchuma and an iron ore mine and thermal power station in Liganga. Mchuchuma has some 536mn tonnes of coal reserves, while Liganga has total reserves of up to 1,200mn tonnes, including iron, vanadium and titanium.
Tanzania: Dar es Salaam Pipeline Works Start East African Business Week (Kampala) By Leonard Mwanga, 6 February 2012 — The Dar es Salaam Port's 70 million US dollar (Tsh. 112b/-) single point mooring (SPM) seabed multiple pipelines installation project starts this week and is expected to be completed in July this year.
The project which is being constructed at Las Mjimwema, Kigamboni, will have a discharging capacity of around 3,500 litres per hour hence cutting down the mooring time to one day from the current period of between four and five days. The Port Manager said Malaysia based firm Leighton Offshore has been awarded the contract of installing two onshore and offshore pipelines. The latter is almost ready. The pipelines are one 28 inches for crude and the other 24 inches for white oil-petrol, diesel and kerosene, covering 3.6 kilometres offshore and 4.3 kilometres onshore. Leighton Offshore's scope of work includes engineering and procurement, project management, pre and post installation surveys, supply and installation of the SPM system, as well as testing and commissioning.
Tanzania: ORCA On 200 Billion - Expansion Project - ORCA Exploration Group has announced commencement of drilling the first well in its 130 million US dollar (over 200bn/-) expansion programme in Songo Songo Island.
Tanzania: Union Govt to Fund Z'bar Key Road — The Union and Zanzibar governments have budgeted Sh1.6 billion for expansion of Mtoni - Amani Road into a dual carriageway, Parliament was told yesterday.
Zambia: LCM Sets Aside $2 Million for Exploration - Luanshya Copper Mine (LCM) is to invest US$2 million in the exploration of new mineral areas, especially in Lufubu area, to boost the mining company's production capacity.
Zambia: World Bank-Funded Irrigation Project Starts TIMES OF ZAMBIA 9 February 2012 - THE Government has started the implementating the World Bank-funded irrigation project which will cover a total of 5,000 hectares of land in Southern, Central and Copperbelt provinces. Under the Irrigation Development and Support Project (IDSP) the Government will support 1,300 small-holder farmers in the three identified sites. Last year, the Government signed a financing deal of US$115 million with the World Bank for irrigation infrastructure under IDSP. Ministry of Agriculture and Cooperatives (MACO) national coordinator Barnabas Mulenga said so far, this was one of the largest projects the World Bank was funding in the agriculture sector.
Dr Mulenga said the Government had engaged a consultant that would undertake technical feasibility study, designs and construction of schemes and dams.
"With effect from November 11, 2011 and financing credit is now put into effect and the World Bank is ready to disburse the funds of US$115 million after all the surveys are completed," he said. Dr Mulenga explained that the Government was expected to contribute US$75 million to support the irrigation project especially for the resettlement programme.
Zambia: Ichimpe Mine Starts Formalisation Process - MINES and Natural Resources Minister Wylbur Simuusa has said Zhonghui Mining Group of China, owners of the US$690 million Ichimpe Mine in Kalulushi has started formalising the development of the project.
Zimbabwe: EMA Gives Chinese Investor Ultimatum THE HERALD 10 February 2012 - The Chinese investor constructing the five-star hotel on the wetlands between Belvedere suburb and the National Sports Stadium is defying orders to halt operations and regularise the development, the Parliamentary Portfolio Committee on Environment and Natural Resources heard on Wednesday. Environmental Management Agency director Mr Aaron Chigona said they had written twice to the Chinese investor to stop construction.
"We ordered them to stop construction and carry out an Environmental Impact Assessment (EIA)," he said. "First to issue the order was our inspector and they did not comply," he said. "Next to issue the same order was the EMA director-general and they are yet to comply again," he added. "If they do not comply within the next two weeks when the window period lapses, the minister will then issue the final notice or simply ban the hotel construction," he said. The Zimbabwe Tourism Authority brought the Chinese investor, who is constructing a 300-roomed hotel on a wetland in contravention of the Environmental Management Act, which bars land development on such lands. Mr Chagona said the investor had ignored the approved hotel plan and moved about 200 metres into the wetlands. NOT THE FIRST SOURING OF BOB’S ‘LOOK EAST’ STRATERGY
Zimbabwe: LonZim to Be Renamed Cambria Africa - ZIMBABWE-FOCUSED investment firm LonZim plc has indicated that it will change its name to Cambria Africa plc. This comes as the company moves to operate independent of direct support from Lonhro Plc, which, however, retains its 22,9 percent shareholding in the group.
COMESA SUDAN: South Sudan in Ethiopia-Djibouti oil pipeline deal BBC 9 February 2012 - Landlocked South Sudan has signed a second oil pipeline deal in a bid to reduce its dependence on Sudan - amid a deepening oil crisis. The only export route for southern oil - which makes up 98% of its budget - is via its northern neighbour. The latest plan is to build a pipeline to the port of Djibouti on the Red Sea via neighbouring Ethiopia. South Sudan last month stopped production in a transit fees row and accused Khartoum of stealing its oil.
A memorandum of understanding was signed during talks in the Ethiopian capital, Addis Ababa, earlier this month, South Sudan's Minister for Information Barnaba Marial Benjamin told the AFP news agency. Chinese, US and European companies have shown interest in carrying out feasibility studies, Mr Benjamin said.
Djibouti - on the Gulf of Aden at the entrance to the Red Sea - is at least 1,000km (625 miles)away from South Sudan's oil fields, and crosses remote, difficult terrain where South Sudanese and other militia groups operate.
Last month, South Sudan's government signed a deal with Kenya to link its oil fields to the port of Lamu. Industry analysts say such a pipeline would usually take at least three years to build and cost up to $4bn (£2.6bn).
South Sudan and Sudan - who fought a bitter civil war for decades and split in July - remain at loggerheads, especially over oil on which both countries depend almost entirely for their revenues. The south has the bulk of the oil - but the north has the pipeline, refinery and the export terminal at Port Sudan on the Red Sea. They have never agreed on the transit fees that the south should pay Khartoum for pumping oil through its pipelines and using Sudan's oil export infrastructure. President Salva Kiir of South Sudan recently accused Sudan of stealing crude oil worth $815m (£518m). Khartoum has admitted to confiscating some for unpaid fees - prompting South Sudan to halt all production. President Kiir said his nation would rather struggle for a bit than continue to hand over its oil revenues to the old enemies in Khartoum. Fresh talks over the oil crisis are scheduled for Friday in Addis Ababa.
Djibouti: U.S. Sees Base As 'Central' to Its Plans THE EAST AFRICAN By Kevin Kelley, 5 February 2012
The recent rescue of two hostages in Somalia by US Special Forces highlights the strategic significance of the American installation in Djibouti, which is being touted as a model for future US bases in Africa and elsewhere.
Camp Lemonnier, established in 2003 as the home of the Pentagon's Combined Joint Task Force/Horn of Africa, was described by US Defence Secretary Leon Panetta during a December visit to Djibouti as "the central location for continuing the effort against terrorism."
A month later, the former French colonial base served as the launching pad for the helicopter raid organised by the US Africa Command that killed nine Somali pirates and freed their American and Danish captives. The success of that mission was hailed last week by Michele Flournoy, the Defence undersecretary for policy. In a speech at a National Security Symposium in Washington, Ms Flournoy suggested that Camp Lemonnier exemplifies the new ways in which the US intends to project its power around the world. A US military strategy for the coming years outlined recently by President Barack Obama puts emphasis on developing "innovative, low-cost and small-footprint" operations as Washington pursues "new partnerships with a growing number of nations, including those in Africa and Latin America."
Instead of mobilising massive military deployments such as those in Afghanistan and Iraq, the Pentagon will seek to economise during the next decade while still applying its muscle in support of American interests.
Development of more bases similar to but perhaps smaller and less conspicuous than Camp Lemonnier is consistent with the US objective of paring its military budget but remaining capable of intervening quickly and decisively throughout the developing world. Camp Lemonnier's growing prominence reflects its acquired role as the de facto operational centre in Africa for Africom, the US military command that is formally headquartered in Stuttgart, Germany.
Soon after its launch five years ago, Africom undertook an embarrassingly unsuccessful round of consultations with African leaders concerning establishment of a permanent presence somewhere on the continent for the new military command. Liberia was the only black African country that publicly offered to host Africom. It has since become clear, however, that Djibouti is willing to serve unofficially in that capacity. Some of the approximately 3,500 US personnel stationed at Camp Lemonnier carry out civic-engagement missions similar to the "hearts and minds" initiatives undertaken as part of the US war in Vietnam.
These doctors, veterinarians and engineers regularly provide health services and help improve local infrastructure in East Africa. Last month, for example a Combined Joint Task Force medical unit worked with Tanzanian health personnel in delivering care to some 2,100 women and children in and near Mtimbwani. But Camp Lemonnier's primary purpose is to combat militants in much of Africa that are judged to pose a threat to US interests and allies.
At the same time, Africom is increasingly overseeing fighting forces after having initially emphasised its "soft power" attributes. Africom's debut as a formidable military machine came when it directed the US air war in Libya that proved instrumental in achieving regime change there.
Djibouti, a country of less than a million inhabitants, has given the United States the option to lease Camp Lemonnier until at least 2020. Led by President Ismail Omar Guelleh, Djibouti's government welcomes the US military presence, which provides the poor country with an important source of revenue. Djibouti is also closely allied with Ethiopia, which ranks as a key US strategic partner in East Africa.
On its part, the US is clearly content to do business with Djibouti, even though the most recent State Department worldwide report on human rights cited multiple abuses by the country's authorities, including corruption, prolonged detention, denial of fair trial, and restrictions on free speech and labour unions. For all its growing importance, Camp Lemonnier is not the only place in black Africa where the US conducts military operations.The Pentagon also flies drones from airfields in Ethiopia and the Seychelles while assisting Amisom forces in carrying out drone surveillance inside Somalia. AND THAT IS WHY KENYA WILL LOSE THE LAMU PIPELINE, STRATEGIC AMERICAN OIL JOCKEYING WHILE KENYA’S CORRUPT DELAY THE PROJECT ADDITIONAL TO KENYA BEING A U.S.A. TERROR WATCH COUNTRY (EMBASSY ATTACK) AND THE ONGOING INSURRECTION FROM ITS NORTHERN TERRITORIES AND NEIGHBOURS
KENYA: Cargo Transport Fees to Increase - Clearing and forwarding firms have warned of possible hikes in cargo clearing and transporting hikes, predicting that the congestion at Mombasa could stretch to April.
Kenya: Sh1.4 Billion to Be Spent On Highway Foot Bridges - The government will spend Sh1.4 billion to build 20 steel foot bridges along the Thika Super Highway.
Kenya: Muhuri Officials in Lamu Over New Port - TOP officials of a human rights organisation have begun a fact-finding tour of Lamu following the recent displacement of locals by the government for the construction of a road for President Mwai Kibaki. The officials from Muslims for Human Rights - In a statement, Khalid said the officials are out to measure the extent of damage to the environment and violations of the rights of the locals, who have in the recent weeks been flushed away from their families to pave way for a road to be constructed from Mokowe to Kililala. The road, according to reports, is to be used by the President on his way to the site of the Lamu port project in mid February.
Kenya: Construction of New Airport Terminal On Course, Says KAA - The Kenya Airports Authority has maintained that the planned construction of a $500 million (Sh42.5 billion) new terminal complex at Jomo Kenyatta International Airport is on course, refuting claims that delays in securing a financier would jeopardise it.
KENYA: Golf Tourism Set to Expand - In 2009, Kenya was voted 'Undiscovered Golf Destination of the Year' by the International Association of Golf Tour Operators
Kenya: Giant Milk Firm to Be Built in Gatundu - A multi-million milk processing firm will take shape in Gatundu soon, handing dairy farming in the zone a new lease of life and heightening competition for milk in the area. The processing plant -- billed to cost Sh380 million -- will be built in Kimunyu village, with funding from Pamoja Women Development Programme (PAWDEP).
Kenya: Construction Boom Drives Gypsum Mining Firms - A vibrant construction sector has spurred the mining of gypsum in northern Kenya, which has seen an increase in start-up firms scouring for the mineral that is used as a raw material by cement makers. While Isinya has been the traditional source of gypsum for the five cement manufacturers based in Athi River, entrepreneurs are turning to Garissa--- located about 500 kilometres from Nairobi-- which they say has a higher quality of the mineral. Growing demand for cement in the Uganda and Rwanda markets amid cement manufacturers' enhanced crushing capacities is also behind a rush for the mineral in Turkana District, which is exported to the neighbouring countries.
Kenya: Building Under Construction Now Collapses in Kasarani - A two-storey building that was under construction collapsed in Mwiki at the weekend injuring three people. The building collapsed on Saturday at 3pm when the workers at the site were laying a second floor slab. An eye-witness said he heard a big bang and eventually saw a huge cloud of dust. A resident who sought anonymity said most house developers in the area were using stolen cement from the Chinese companies building the Nairobi-Thika super highway which he said is not stored properly hence does not give good results.
Kenya: Mumias Plans Rights Issue for Tana Delta Plant - Mumias Sugar has announced that it will raise additional cash from shareholders through a rights issue and international banks to help establish a $400 million (Sh33.6 billion) factory in Tana Delta. "The Tarda project will cost $400 million and we will raise the money from our balance sheet, a rights issue, and international lenders," said Peter Kebati, the company's finance director.
Kenya Pipeline to Build LPG Storage Plants As Demand Grows Business Daily (Nairobi) By Allan Odhiambo, 7 February 2012 - Kenya Pipeline Company plans to build new liquefied petroleum gas (LPG) storage and bottling plants from next year as part of a strategy to help meet growing demand for the commodity in the region.
KPC Managing director Selest Kilinda said facilities planned for Nairobi would be completed and commissioned by the end of 2014 before embarking on similar projects in other major urban centres a year later. "KPC is focusing on development of LPG facilities in Nairobi. We intend to commence construction work in the year 2013 and commission the facilities by the end of year 2014. Phased development of other inland facilities should commence in the year 2015," he told the Business Daily.
The cost of the bulk LPG import handling, storage and distribution facilities in Mombasa was estimated at $28.6 million while that of establishing the inland facilities was put at $43.3 million. "The cost of putting up the facilities would be much higher now given the rise in costs of construction materials and equipment," Mr Kilinda said. Besides boosting the LPG storage capacity, Kenya also plans invest up to Sh 100 billion to develop a strategic national petroleum reserve to stabilise supplies.
Rwanda: Dutch Officials Tour Musanze - A team of officials from the Dutch embassy in Kigali yesterday visited several areas of Musanze District to assess the economic development and priority areas that may need support.
South Sudan: Govt in Talks With Texas Company On Oil Pipeline SUDAN TRIBUNE 8 February 2012
Dallas — The government of South Sudan is in talks with a Texas-based company to explore options for building an oil pipeline which would serve as an alternative to the one passing through the territories of Sudan. According to South Sudan information minister Barnaba Marial Benjamin, the unidentified company could start working the project in as soon as six months. He offered no further details.
The official further said that South Sudan had signed a memorandum of understanding with Ethiopia to construct an oil pipeline passing through Djibouti. A source close to the Juba government said that Ethiopia's Prime Minister Meles Zenawi gave his approval to the idea. It is not clear if Djibouti did the same yet. Eritrea is also an option on the table even though its president Isaias Afewerki has yet to respond. Last week, the former Sudan oil minister Lual Deng said that exporting the oil through Djibouti would be a shorter distance than using the established pipeline going all the way from South Sudan to the Red Sea.
South Sudan minister said that Toyota Company has started feasibility studies on the Lamu pipeline project which was signed recently with Kenya.