Recently published research from Business Monitor International, "Congo, Dem. Rep. Mining Report Q4 2013", is now available at Fast Market Research
Boston, MA -- (SBWIRE) -- 10/16/2013 -- The Democratic Republic of the Congo (DRC)'s vast mineral resources will continue to attract greater international interest, given the country's huge untapped and high-grade reserves and improving, though still very poor, business environment. In terms of growth potential, the industry is one of the most attractive in Sub-Saharan Africa (SSA). We forecast the value of the sector to rise sharply from 2011 levels to US$2.5bn in 2017, mostly driven by copper and gold production. However, while we expect substantial growth in mining output, risks to investment remain numerous, with security concerns and the lack of adequate infrastructure most pressing.
View Full Report Details and Table of Contents
Ore To Play For
After half a century of decline and unrealised potential, the DRC's mining sector is on the verge of rapid growth, as several huge gold deposits are developed. Numerous large-scale projects are coming online in the next five years, with perhaps the most notable being Randgold Resources' Kibali gold mine, which is expected to come online in 2013. The mine has reserves of 13mn ounces (moz) and is one of the largest gold projects due to come to fruition in the next few years.
As well as gold, there are several significant copper projects due to come online. In addition to their size, the copper deposits in the DRC are attractive due to their high copper grade. The Kipoi and Kamoto mines are estimated to contain grades above 3.0%, significantly higher than the world average of 0.6%. This will be an increasingly important issue as some of the world's largest mines, including Antamina in Peru, Escondida in Chile and Grasberg in Indonesia, have experienced falling ore grades and thus higher extraction costs.
While the potential is clear, political impediments are likely to remain, as conflict continues in the east of the country, where much of the mining occurs. The potential for political ructions will continue to pose downside risks to mining sector growth.
We expect numerous new players into the DRC's mining sector over the coming years as the country's undeveloped mineral reserves, attract further investment in the country; our forecast that metals prices will remain elevated is an additional attraction. At present, there are only a few mining companies present, mostly small or mid-tier gold and copper miners. Anvil Mining is a leading copper miner in the DRC, with facilities at Mutoshi and Kinsevere. The company was acquired by China Minmetals and is the first acquisition (of what we expect to be many) by a Chinese company of mining companies in Africa.
About Fast Market Research
Fast Market Research is an online aggregator and distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff will help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
Browse all Materials research reports at Fast Market Research
You may also be interested in these related reports:
- Global Mining Survey 2013-2014 - Market Trends, Marketing Spend and Sales Strategies in the Global Mining Industry
- Global Mining Survey 2013-2014 - Market Trends, Buyer Spend and Procurement Strategies in the Global Mining Industry
- China Mining Report Q4 2013
- South Africa Mining Report Q4 2013
- Angola Mining Report Q4 2013
- Kazakhstan Mining Report Q4 2013
- Mining Quarterly Deal Analysis - Q4 2012: M&A and Investment Trends
- Sustainability in the Global Mining Industry 2012-2013 - Market Trends and Opportunities, Profitability and Budget Forecast, Mining Industry Procurement and Marketing Initiatives
- Australia Mining Report Q4 2013
- Namibia Mining Report Q4 2013
Copyright © 2005-2013 - SBWire, The Small Business Newswire - All Rights Reserved - Important Disclaimer
Contact Us: 888-4-SBWIRE (US) - 920-593-5640 (International)