African Business Review - October 2014

www.africanbusinessreview.co.za October 2014

TOP 10

Mobile Network Providers

TECHNOLOGY

The Internet of Things Revolution

MARKETING

Building Smart Cities through ICT Innovation

Grande C么te Operations

Mining Project Boosts Senegal Economy

Big landscapes Inspire big thinking

THERE’S NOTHING LIKE AUSTRALIA FOR YOUR NEXT BUSINESS EVENT. This year we chose Australia for our global congress. It was an easy choice, as Australia’s proximity to Asia gave us the opportunity to attract many new delegates. The program was one of the best in years. New Australian developments in our field attracted a lot of interest and strong international research partnerships were established.

Australia is on everyone’s list to visit, and it lured our highest number of delegates yet. There’s no doubt they’ll be talking about this convention for years to come.

Dr Louise Wong, International Board Member

visit australia.com/businessevents/associations for everything you need to plan your australian event.

EDITOR’S COMMENT

Opportunities Knock for Africa’s Emerging Markets F O R T H E P A S T F E W years, Africa has grown at an incredible rate

across numerous sectors as it skips old and outdated processes being filtered through other continents straight to the most modern solutions.

Within the tech and marketing world especially, this is a common occurrence and this month we focus on some of the key revolutions occurring within Africa.

Pfungwa Serima of SAP Africa addresses the Internet of Things revolution, while Sylvester Samuel of T-Systems assesses the concept of a ‘smart city’ in Africa.

In this month’s ‘Who’s the Boss’ feature, Mike Sharman and Murray Legg talk us through their ‘suits and slops’ approach to innovative online marketing agency Retroviral, and Ian Coles of Mayer Brown sheds light on future investment prospects in Africa in line with Deutsche Boerse and Standard Chartered’s recent economic collaboration.

October’s headline act however, is Grande Côte Operations’ significant mineral sands mining project in Senegal, and I was fortunate enough to speak to Managing Director, Simon Finnis about the 100km long site on which production has now begun.

Enjoy the issue!

Matthew Staff Associate Editor matthew.staff@wdmgroup.com 3

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Answers for industry.

CONTENTS

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32 Finance

Features 24 Q&A: Who’s The Boss?

Mike and Murray take the ‘Suits and Slops’ Approach to Marketing with Retroviral

Deutsche Boerse and Standard Chartered Join Forces

TOP 10

Mobile Network Providers in Africa

16 Marketing

Technology

South Africa’s Tech Future: Building Smart Cities through ICT Innovation

Systems of Things: The Building Blocks for the Next Internet Revolution

40 5

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CONTENTS

Company Profiles MINING 50 Grande C么te Operations Brings Economic Boost to Senegal with Globally Significant Mining Project 76 Discovery Metals New Era for Discovery Metals

50 90

90 BCM Group BCM Group Aims for the Top

Grande C么te Operations

BCM Group

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Discovery Metals

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Q&A: WHO’S THE BOSS?

Mike and Murray take the ‘Suits and Slops’ Approach to Marketing with Retroviral Life-long friends, ‘flip-flop wearing’ Mike Sharman and ‘bespoke suit wearing’ Murray Legg formed specialised online marketing agency, Retroviral in 2010 and we caught up with the two in this month’s ‘Who’s The Boss?’ feature E D I T E D B Y: M A T T H E W S T A F F

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July 2014

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Q&A: WHO’S THE BOSS? ABR: Name? Age? Place of birth?

MS: Mike Sharman, 30, Johannesburg, South Africa ML: Murray Legg, 30, Klerksdorp, South Africa ABR: Where were you educated?

ML: Murray and I both went to King Edward VII School. I then went to Rand Afrikaans University (RAU), now known as the University of Johannesburg, and Murray studied at the Pretoria University (undergraduate) and North West University (postgraduate).

WDM: Tell us about your career background and how you got to your current position?

MS: I really wanted to be an actor but my old man advised that I may not ever be able to secure a bond, or have

medical aid, so I pursued my second passion – marketing.

After completing my degree I paid for myself to go to acting school in Hollywood where I lived for six months, learnt how to write material for standup comedy, wrote a one man show, returned to SA and performed the play at the Grahamstown Fringe Festival. I eventually landed a job in PR, won a fancy dress competition to go to London where I ended up working in PR /social media for two years. I then returned to SA to team up with Murray, my lifelong friend, to start Retroviral.

ML: I like to know how things work.

I studied mechanical engineering before following a career in biomedical engineering. My passion for digital led me to backing my partner Mike in the early days of Retroviral, where I’ve since played a more strategic role. However, my heart is in, well, hearts. I’m currently commercialising a heart valve replacement for emerging markets.

Mike and I don’t compete with each other, but fill each other’s blind spots to make a great team Murray Legg

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October 2014

M I K E S H A R M A N & M U R R AY L E G G

“I see success as producing remarkable industry-shaping work that has a positive effect on my clients’ bottom line and excites consumers” – Mike Sharman

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Q&A: WHO’S THE BOSS? ABR: Who were your main influences during your early career?

MS: My first bosses – Nicky James and Cian Mac Eochaidh, who are friends and entrepreneurial confidantes. They bootstrapped their own agency and showed me a more strategic approach to communications than I had been privy to previously.

I’ve also enjoyed watching the rise of social media stars such as Zuckerberg and the Twitter team.

“Retroviral will bring an energy and enthusiasm to your message being sent out to a digital audience” – Murray Legg

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October 2014

ML: My Dad has always been a guiding light, his mantras - “If you don’t have anything nice to say, don’t say it”, “Women first” and “Do what’s best for you and what’s best for the group” are fantastic principles.

ABR: What does success mean to you?

MS: Success is a pretty intangible concept. I don’t have a desire to own a sports car or star in my own rap video, I see success as producing

RETROVIRAL

dance under the lights.” Hard work and a feeling of pride in my work motivates me and leads to success.

The inspirational Muhammad Ali remarkable industry-shaping work that has a positive effect on my clients’ bottom line and excites consumers.

ML: Getting to a place in life where it’s not just about you and your immediate family, rather living a life that inspires change in the world for the better.

ABR: What motivates you?

MS: Running Twitter searches of the live campaigns we have and seeing the responses from people you don’t even know. That is my digital drug.

ML: Muhammad Ali said “The fight is won or lost away from witnesses, behind the lines, in the gym and out there on the road, long before the

ABR: If you were recommending Retroviral to someone who has never heard of the company before, how would you describe it, and what do you think sets it apart from similar businesses?

MS: We create branded content in an effort to make our clients’ brands the most important thing in consumers’ minds. We are obsessed with the internet and are at the coal face in terms of trends and what works and doesn’t, online. Our passion and love for what we do is a differentiator.

ML: Retroviral will bring an energy and enthusiasm to your message being sent out to a digital audience. Belief in a great story and its content will work time after time. If you are an A team brand, you need an A team agency.

Retroviral is that team.

ABR: Working in such close partnership is perhaps not a situation that would work for every company, so could you talk us through the key elements that make your 13

Q&A: WHO’S THE BOSS? particular relationship work?

MS: Partnerships are never easy.

Fortunately my partner is my best friend and we know what we’re good at, and we’re not arrogant enough to fight for something we don’t believe in.

ML: The best partnerships happen when opposites collide. Mike and I don’t compete with each other, but fill each other’s blind spots to make a great team.

ABR: What was the best piece of business advice you have ever received?

MS: Don’t let financial fears cripple you!

ML: Everyone has a great idea but it’s up to you to make it a game-changer.

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October 2014

ABR: What was the worst business advice you ever received?

MS: “Study accounting. You can do everything with an accounting base.”

ML: I think I argued them into sanity, so I can’t remember.

ABR: What was the biggest mistake you ever made?

MS: A mistake actually aided one of our early campaigns and inadvertently led to great success for us. One of our first Nando’s campaigns in 2010 was

M I K E S H A R M A N & M U R R AY L E G G

Retroviral office a YouTube based piece of content that had been created by Black River FC. We published the video as unlisted as we were compiling some link tests. A journalist tweeted about the link shortly thereafter, and it had a cult-like status associated with it because it wasn’t publicly visible on the brand’s YouTube page. It started an online fire that was supported with our blogger seeding tactics. It was the first video that we saw in SA receive 100,000 organic views in less than a week. It was also picked up by

expats in countries such as the UK and Australia. This resulted in our first award winning campaign.

ABR: What are your hopes and aspirations for the future of Retroviral?

MS: I’m excited about the way Retroviral manifests itself as it grows.

We never want to be the biggest, but we always want to be the best.

ML: To keep delivering great content for brands, not just in SA but sub-Saharan Africa too.

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MARKETING

South Africa’s Tech Future: Building Smart Cities through ICT Innovation Sylvester Samuel of T-Systems cites recent smart city successes in Europe to identify an opportunity for South Africa to promote and optimise its technological future W R I T T E N B Y: S Y LV E S T E R S A M U E L , S E N I O R STRATE G I C SA LE S M A N AG E R : G O 2 M A R K ET AT T- SYSTE M S I N S O UTH A F R I C A

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Month 2014

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MARKETING

‘A smart city is one with welldefined processes, connected by smart innovative technologies that enable citizens to experience all public services with ease and low cost, fuelling economic development to stimulate a high quality life for all’ Photo by Johannes Simon/Getty Images

THE CONCEPT OF the ‘smart city’ has emerged as a term to describe a city that uses technology to address service delivery challenges. However, building a smart city is about more than just using technology; it is about ICT innovation and transformation that improves the quality of life of citizens.

People are at the heart of the smart city concept, and it offers benefits for all concerned, but delivering on 18

October 2014

this ideal requires all parties to be involved. Smart cities need not only Government commitment, but also engagement from citizens and the collaboration of the private sector in order to succeed.

A smart city is one with well-defined processes, connected by smart innovative technologies that enable citizens to experience all public services with ease and low cost,

B U I L D I N G S M A R T C I T I E S T H R O U G H I C T I N N O V AT I O N

fuelling economic development to stimulate a high quality life for all.

From basic service delivery provision of water and electricity, to ease of mobility within a city across public and private transport, to the ability to provide quality healthcare and education to all citizens, smart cities are all about making the lives of citizens better and easier.

T-City The success of the smart city concept can be seen in T-City, a collaboration between T-Systems, Deutsche Telekom and Friedrichshafen, a city in Germany.

The aim of T-City was to utilise technological innovation to achieve sustainable improvements in the quality of life in the city. The initiative ran for five years, from 2008 to 2012, and during that time more than 40 projects were implemented across education, transport, tourism and culture, business, smart metering and energy, healthcare and more.

An area broadly based on eGovernment was also implemented to improve the efficiency of administrative processes for residents and businesses. The city acted

as a showcase for innovative ICT technology, demonstrating how such technology can improve the quality of life within the city.

Broadband connectivity lay at the heart of the success of T-City. By connecting each and every citizen, they were empowered to access a wide variety of additional services online, including purchasing tickets, paying bills and so on. Internet-based learning and virtual classrooms were implemented and textbooks were made accessible online, extending education to all.

An integrated emergency number ensured citizens could always get hold of the relevant services with ease.

Through connectivity and connected smart devices, the Government was

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MARKETING

‘At the heart of the smart city is the ability to connect the dots between ICT and basic services, and to innovate in using technology to deliver better services to citizens’ also able to gain feedback. Smart metering solutions enabled monitoring of electricity consumption as well as more effective billing and processing.

Public transport systems became more efficient, and a single ticketing system not only delivered valuable data to Government, but was also highly convenient for citizens.

Benefits for South Africa While T-City was conceptualised and demonstrated in a first world country 20

October 2014

in Europe, the lessons learned from this project can be localised and made relevant for the South African market.

Connectivity is the foundation for the delivery of smart services, whether it is delivered via mobile, wireless, fibre or satellite, and this fact remains the same regardless of location.

The basic needs of people also remains the same, regardless of their location; access to water, electricity, education and healthcare are fundamental human

F E AT U R E A R T I C L E S H O R T E N E D H E A D L I N E

needs that transcend cultural and geographical boundaries.

These areas are all aspects that can be successfully addressed using the smart city concept.

At the heart of the smart city is the ability to connect the dots between ICT and basic services, and to innovate in using technology to deliver better services to citizens.

For example, a library in the city of Johannesburg can become so much more than just a repository of

old books. Using technology it can be transformed into a multimedia centre with computers that can be used to improve education, and also for a host of other areas such as paying municipal rates and accessing other services.

Changing cultures While ICT and broadband connectivity are critical components, technology is simply the enabler of the smart city eco system. Building a real smart 21

MARKETING city requires a holistic view – one that includes changing cultures and behaviours alongside the introduction of enabling technology.

Hand-in-hand with this is a requirement for collaboration between Government and the private sector, and the need to incorporate innovative ways to fund socio-political development objectives to achieve economic transformation in South Africa.

Private sector has the technology and process skills required, and needs to work with Government to achieve a long-term sustainable vision for the South African economy. In addition, cities and municipalities need to stop working in isolated siloes, but share processes and lessons learned to

T-City event

22 October 2014

permeate success across the country, and create interconnected systems that can then add value to all citizens of South Africa.

The smart city also requires the buy-in of communities and citizens. Active participation of both the Government and its communities is essential in creating the two-way feedback that makes the smart city a success.

Cultural change management is essential in ensuring people adopt new solutions - awareness of technology, education around the benefits of new solutions, and the assurance that all personal information will be kept secure are just some of the issues that need to be tackled.

Local needs, global relevance The smart city is mutually beneficial to both public and private sectors, as well as citizens themselves.

It promotes collaboration and transformation, which in turn stimulates economic growth, more intelligent use of resources, access to up to date information, and the creation of jobs and skills.

Intelligent management of natural resources is made possible

F E AT U R E A R T I C L E S H O R T E N E D H E A D L I N E

T-City store

through participatory action and engagement. Citizens can access self-help services to ensure effective collaboration between the public and the municipality. Enhanced information security and a cohesive system at a Government level reduces the chances of identity theft. Revenue can be assured, and services can be cost-effectively delivered, benefiting all parties.

These are but a few examples

of the advantage of the smart city.

By working together, public and private sector can collaborate on the transformation of municipalities and the country as a whole, using innovative technology as an enabler.

By localising global innovations to fit local needs, South Africa can remain relevant on a global stage while improving the lives of all citizens and meeting its service delivery obligations.

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TECHNOLOGY

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Month 2014

SYSTEMS OF THINGS: THE BUILDING BLOCKS FOR THE NEXT INTERNET REVOLUTION Pfungwa Serima of SAP Africa asks what the Internet of Things revolution means to some of Africa’s key industries and illustrates how companies on the continent can capitalise on the trend W R I T T E N B Y: P F U N G W A S E R I M A , C H I E F E X E C U T I V E OFFICER OF SAP AFRICA

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TECHNOLOGY

There are more connected devices than people in the world today THE PROMISE OF the connected world we live in is an alluring one; someday, we will be healthier because our doctors will have access to all the data they need about our health, our vehicles and appliances will monitor themselves and will let us know when it is time to service them, and we will never have to make a decision without the data 26

October 2014

we need to make smart decisions.

Thanks to the so-called Internet of Things (IoT), that day is coming sooner than you think. There are more connected devices than people in the world today. By 2020, it is estimated there will be 50 billion connected devices globally.

However, businesses and society will not benefit from connected

F E AT U R E A R T I C L E S H O R T E N E D H E A D L I N E

devices if there are no systems in place to gather, analyse and gain insights from the massive volumes of data generated by these connected devices.

Let’s take a step back here. We spent last half of the 20th Century building what Geoffrey Moore calls Systems of Record, the structured transactional data that is the core of

‘There are more connected devices than people in the world today. By 2020, it is estimated there will be 50 billion connected devices globally’ 27

TECHNOLOGY every business. These Systems of Record capture every dimension of our lives, be it financial transactions, human resources, order processing, inventory management, customer relationship management, supply chain management, product lifecycle management or more. These Systems of Record have paved the way for enormous economic expansion over Pfungwa Serima, CEO, SAP Africa

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October 2014

the past 50 years.

With the explosion of the internet in the past few years, Enterprise IT saw a shift towards Systems of Engagement, encompassing the edge of the business, leveraging social networks, and processing loosely structured data that is constantly changing. This shift towards Systems of Engagement resulted in more agile business processes, seizing new business opportunities at the edge of the business.

These systems depend on gathering and analysing large volumes of data from various sources in real-time to generate actionable insights for fast decision-making. For instance, a clothing retailer can now offer highly personalised realtime discount offers to online shoppers after analysing their shopping behaviour, social media sentiment, likes and dislikes.

Today, we are witnessing another massive revolution where enterprises will need to build Systems of Things in parallel to Systems of Engagement to harness the Internet of Things. As the

F E AT U R E A R T I C L E S H O R T E N E D H E A D L I N E

Clothing retailers can now offer highly personalised real-time discount offers to online shoppers after analysing their shopping behaviour previously dumb devices on the edge become intelligent and get connected, Systems of Things will be needed to source, capture, analyse, predict and act on the data in real time.

A recent report by Morgan Stanley predicts that the Internet of Things could be an opportunity for several

large industries, driving potential changes in business models and significant cost savings.

What does this mean for us in Africa?

I believe it’s a great opportunity for us not only to create entire new 29

TECHNOLOGY

‘…it’s a great opportunity for us not only to create entire new business models for companies, moving the value proposition from products to services, but to use technology to make a real impact at socio-economic level’

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Month 2014

SYSTEMS OF THINGS

business models for companies, moving the value proposition from products to services, but to use technology to make a real impact at socio-economic level.

In the utility sector, Africa’s utility companies need to meet the growing demands of urbanising populations and booming industrial sectors. IoT can help with smart metering and distribution, to be able to accurately measure and predict demand and generation.

In agriculture, we could be using IoT technologies to improve yields. In healthcare, there’s a real opportunity to use IoT to use our human capital more effectively, and deliver better services. In the capital goods sector, we could be streamlining industrial processes and helping marginal mining operations do more with less.

Records: big data, fast data, predictive analytics, cloud, and mobile.

If African companies get these building blocks right, and are able to embed their Internet of Things applications directly into their existing business processes, they will be able to chart their own destiny.

What do African companies need to do to take advantage of this?

For the Internet of Things, and billions of connected devices, to become useful, we need Systems of Things – and luckily, the foundational blocks of this are the same as those of Systems of Engagement and Systems of 31

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October 2014

FINANCE

Deutsche Boerse and Standard Chartered:

Joining Forces in Recognition of African Investment Opportunities Ian Coles of Mayer Brown sheds light on investment prospects in Africa and what he expects Deutsche Boerse and Standard Chartered to unveil over the coming months and years W R I T T E N B Y: M A T T H E W S T A F F

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FINANCE DEUTSCHE BOERSE HAS teamed up with Standard Chartered in a collaboration which will see the companies draw up monthly economic indicators for Ghana, Kenya and Nigeria, seemingly confirming Africa’s increasing importance to global investors.

Following the news, we spoke to Ian Coles, Partner and Global Head of Mining at international law firm, Mayer Brown about why more adventurous investors are turning to African countries in their search for higher yields.

African Business Review (ABR): Firstly, could you talk me through the details of the announcement and what the term ‘economic indicators’ entails?

Ian Coles (IC): The indices have been established to provide monthly

benchmarks which will monitor economic activity in these three countries, gauging GDP, employment data and other key indicators.

ABR: What is it about Ghana, Kenya and Nigeria specifically that attracted the attention of Deutsche Boerse and Standard Chartered, as opposed to other nations on the continent?

IC: These three countries are all relatively stable economies which are also growing very rapidly. Indeed Yemi Kale, Nigeria’s chief statistician, revealed at a press conference earlier this year that Nigeria has recently overtaken South Africa as the biggest economy on the continent.

All three enjoy political stability, a healthy supply of natural resources and a well educated population.

These three stand out in the continent - particularly sub-Saharan Africa as real success stories.

ABR: It has been suggested that this announcement indicates Africa’s increasing importance to global investors. Is this a view that you share, and what

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October 2014

INVESTMENT OPPORTUNITIES IN AFRICA

‘There is a plethora of money that funds and corporates are looking to allocate to Africa, which can offer far more generous returns than more mature economies’

other trends have you noticed to support the notion?

IC: It is difficult to pick up the Financial Times or Wall Street Journal without seeing multiple references to these and other growing economies in Africa. In many respects they are seen as the “last horizon” of emerging markets with the added attraction that they are growing much more quickly

than their peers in other emerging markets.

There is a plethora of money that funds and corporates are looking to allocate to Africa, which can offer far more generous returns than more mature economies.

It is clear that Africa has now really become seriously attractive to investors looking for attractive returns.

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FINANCE Three to five years ago many saw the potential for huge growth, but there were significant concerns surrounding political uncertainty in the region.

While some of those concerns remain they have been significantly alleviated and the risk/reward ratio relationship seems to have definitely shifted in a positive direction.

ABR: What is it about Africa at the moment that is generating the higher yields that seem to be enticing more adventurous investors?

IC: There is more risk when investing in Africa when compared to a more mature economy, and that is reflected in the yield – there is a direct relationship between risk and yield.

ABR: Which sectors are attracting the most investment and what are the reasons for this do you think?

IC: Historically, mining within subSaharan Africa has attracted significant investment 36

October 2014

from large international mining companies. Â The region is enormously prospective. However there is now scope for investments in other commodities, in particular offshore and onshore oil and gas fields in Tanzania, Mozambique and Uganda to name a few.

D E U T S C H E B O E R S E A N D S TA N D A R D C H A R T E R E D

DEUTSCHE BÖRSE INSIDE INFORMATION

We are being increasingly approached to advise clients looking to allocate resources to infrastructure projects. Due to the growth level in some of the African economies there is a growing need for improved roads, new power stations, improved mobile telecoms/IT, etc.

The Deutsche Börse Group, is a marketplace organizer for the trading of shares and other securities. It is also a transaction services provider.

It gives companies and investors access to global capital markets. It is a joint stock company and was founded in 1993. The headquarters are in Frankfurt. As of December 2010, the 765+ companies listed had a combined market capitalization of EUR 1.4 trillion.

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FINANCE ABR: How do you see this trend developing in the coming months and years?

IC: These nations will continue to develop and certainly will not go into decline, but their rate of growth may slow over the next few years. Some may face political stability issues as well as other political risk issues such as resource nationalism. However, the general view for progress in Africa remains broadly positive.

ABR: Do you see other African countries receiving similar levels of attention from global financial services businesses?

IC: I would expect Angola to receive similar ‘levels of attention’ as it enjoys political stability as well as vast oil and gas resources. Mozambique is also an attractive investment destination again due to significant resource deposits.

Tanzania and Zambia may also prove popular to investors seeking higher yields.

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October 2014

D E U T S C H E B O E R S E A N D S TA N D A R D C H A R T E R E D

STANDARD CHARTERED INSIDE INFORMATION

ABR: Do you expect the level of yields being generated in Africa to continue and how do you think this will influence global trends?

IC: Although there is a long way to go in some African jurisdictions, overall the continent will continue to be attractive for the foreseeable future.Â

Standard Chartered PLC is a British multinational banking and financial services company headquartered in London. It operates a network of more than 1,700 branches and outlets (including subsidiaries, associates and joint ventures) across more than 70 countries and employs around 87,000 people. It is a universal bank with operations in consumer, corporate and institutional banking, and treasury services. Despite its UK base, it does not conduct retail banking in the UK, and around 90% of its profits come from Asia, Africa and the Middle East.

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TOP 10

Top 10 Mobile Netwo Providers in Africa Written by: Matthew Staff

ork

In the continuous battle to be the most innovative and forward-thinking telecoms provider in a rapidly developing market, we count down the top 10 mobile operators serving the most subscribers in 2014 41

TOP 10

10

Tigo

As the premier brand under the Swedish telecoms company, Millicom’s portfolio, Tigo has a widespread influence across Africa, with particularly healthy market presence in Tanzania and Ghana.

Its competitive presence on the continent as a whole, and especially in Central Africa, has become more than just a supporting role to its equally strong influence on the industry in Latin America.

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October 2014

09

Safaricom

As Kenya’s number one network provider, Safaricom boasts nearly 21 million subscribers in the country, more than 15 million more than its nearest competitor, Airtel.

Owned by global telecoms giant, Vodafone, Safaricom was the first company in East Africa to offer 3G internet technology, epitomising the company’s commitment to IT innovation.

MOBILE NETWORK PROVIDERS IN AFRICA

08

Ethiotelecom

If Safaricom thought it dominated the Kenyan market, then Ethiotelecom takes saturation on to a whole new level in Ethiopia.

As the only notable provider in the country, the company boasts 26.2 million subscribers, taking it to number eight in the countdown despite being exclusive to just the one nation.

07

Globacom Ltd

A limited presence in Benin and Ghana officially makes Glo Mobile an international brand in Africa, but its place in this countdown largely lends itself to its market positioning in economic heavyweight, Nigeria.

Being beaten by only MTN and Airtel in the country, the Globacom-owned provider serves more than 23 million subscribers in its native Nigeria.

Nigerian supporters in GLOShirts at 2010 FIFA U-20 Women’s World Cup

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TOP 10

06

Orange

Alongside Airtel and Vodacom, Orange saturates more countries across Africa than any other network provider, with a healthy spread across east, central, west and southern regions of the continent.

While Orange can’t claim to dominate numerous markets necessarily, it’s strongest presence is found in Senegal, under the ownership of Orange SA and Sonatel.

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October 2014

05

Mobinil

Ironically topping Orange in terms of subscriber numbers on the continent, Orange SA and Orascom owned Mobinil makes the top five as a result of its 33 million subscribers in Egypt.

Despite being second in said market behind Vodafone, Mobinil has thrived since becoming the first telecoms company to receive ISO 14001 certification in Egypt.

MOBILE NETWORK PROVIDERS IN AFRICA

04

Etisalat

Already a key standalone player in Egypt and Nigeria, Etisalat’s presence extends even further across Africa as the owner of ZANTEL in Tanzania and more familiarly, Moov.

The latter’s competitive showing in Benin, Ivory Coast, Gabon and Tanzania supports the parent company’s more-than 40 million subscribers in its two core markets.

03

Airtel

As part of the Bharti Airtel Limited empire that stretches across India & South Asia, Africa and the Channel Islands, it should come as no surprise that Airtel is up there with the biggest names in global telecoms in Africa.

Boasting the majority of its subscribers in Nigeria, Airtel’s footprint spreads practically across the whole of the continent, with only its lack of presence in Egypt and South Africa potentially keeping it outside the top two.

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Business without borders

MOBILE NETWORK PROVIDERS IN AFRICA

02

Vodacom

Unsurprisingly, Vodacom makes the higher echelons of this countdown, with its renowned global presence similarly influential across Africa as both Vodacom

and Vodafone.

Leading the way in both Egypt and South Africa, it is only its comparably small market share in Nigeria – although, still hardly crippling at nearly 19 million subscribers – which keeps the company off top spot.

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TOP 10

01

MTN

Synonymous with everything telecoms related in Africa, the indigenous MTN brand has built up a reputation over the past two decades, initially as M-Cell, of being one of the most innovative and technologically forwardthinking organisations on the continent.

Based in Johannesburg, South Africa, it is actually MTN Nigeria’s success which tips this countdown in the company’s favour ahead of Vodacom, with more than 57 million people subscribing to the company’s mobile services across

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the country; the largest uptake across all countries and networks in Africa.

Complementing its SA and Nigerian presence, MTN continues to expand its footprint and now covers more than 10 countries, including notable market positioning in Ghana, Uganda, Cameroon and the Ivory Coast.

To ensure continuous improvement to its key mobile services, MTN’s latest initiatives have included an expansion of its fibre network in South Africa and the outsourcing of its network towers business to improve service levels for customers in Nigeria.

MOBILE NETWORK PROVIDERS IN AFRICA

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GRANDE CÔTE O P E R AT I O N S

Grande C么te Operations Brings Economic Boost to Senegal with Globally Significant Mining Project Written by: Matthew Staff Produced by: Anthony Munatswa

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The TiZir Limited and Senegalese Government-owned company has spent much of the past decade planning for one of the world’s biggest mineral sands mining efforts, and is now ready to bring the fruits of its success to the local region

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October 2014

G

rande Côte Operations has begun production in one of the world’s largest dredging operations as it aims to achieve economic prosperity, not only throughout its 15 year-plus lifecycle of the mine, but also far beyond that to Senegal and the local population.

Stretched four kilometres wide and 100 kilometres long, the Grande Côte site has been a long time in the planning under the guidance of owners, TiZir Limited, and the Senegalese Government who owns the remaining 10 percent; both of which have played an integral role in supporting all stages of the operation’s development.

The origins of what is now a globally significant mine, goes back to 2006 when Mineral Deposits Limited gained the tenure, followed quickly by a similar successful tender for a gold project, also in Senegal.

While the gold mine took off immediately, Grande Côte was slowly developed in the background in regards to logistical planning, locating resourcing and carrying out feasibility studies; all of which culminated

‘Stretched four kilometres wide and 100 kilometres long, the Grande Côte site has been a long time in the planning’

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Dredge Yeene floating on the start-up pond

in the key ownership agreement which has funded the project to where it is today.

Chief Executive Officer, Simon Finnis explained: “Mineral Deposits Ltd (MDL) signed an agreement with ERAMET, a large industrial company with an ilmenite smelter in Norway, as a joint venture partner.

“MDL then merged the Grande Côte project into this joint venture, forming the company, TiZir Limited which now owns the smelter in Norway and 90 percent of the project here in Senegal.

“Now that the construction effort is over we can look towards producing what some people have reported as six percent of the world’s mineral sands products from this Grande Côte mine.”

Simon Finnis

CEO Grand Cote Operations

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SUPPLIER PROFILE

MINERAL TECHNOLOGIES

Recognised as a leader in processing solutions worldwide, Mineral Technologies works collaboratively with customers to extract value from fine minerals.

Drawing on our 70 years experience and end-to-end capabilities from metallurgical testwork through plant design, equipment supply and commissioning, we provide customers with confidence in achieving successful project outcomes. Our involvement often spans multiple years across all stages of the project life cycle including optimization services that ensure ongoing operational success.

We regularly assist customers with the upgrading and expansion of existing mineral processing operations, and in establishing new installations such as the Grand Cote project in Senegal.

With a focus on continual improvement we proactively research and develop new equipment designs, manufacturing materials and technologies to improve throughput, grade and recovery, equipment durability, overall safety and environmental outcomes that deliver costeffective solutions.

Working across the mineral sands, iron ore, coal and industrial minerals sectors, our teams are based in major mining regions worldwide and are readily available to help extract value from your fine mineral operations.

Realise the Value: Connect with Mineral Technologies today.

Website: www.mineraltechnologies.com

G R A N D E C Ô T E O P E R AT I O N S Ramping up production Located 50 kilometres north of Dakar, Grande Côte runs parallel with the ocean for the entire 100 km length of the mining concession, making it a globally significant mineral sands deposit.

The mine itself was constructed over a two year period, at a cost of $650 million, finishing in March 2014 and will mine relatively low grade 1.7 percent heavy mineral sands.

Now in the “ramping-up”, commissioning phase of the project, Finnis is eager to start seeing the fruits of the organisation’s labour.

“The project itself is fully integrated and starts off with us mining a large sand dune with our dredge.” he said. “We then process that sand through a mineral concentrator - a floating wet

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‘Grande Côte runs parallel with the ocean for the entire 100km length of the site, making it one of the world’s largest mineral sands deposits’

Construction of the wet concentrator takes place on site

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concentrator – which separates the sand from the heavy minerals using gravity techniques, creating a heavy mineral concentrate.

“This concentrate is pumped to a storage area, and we place the clean sand, using pumps, pipelines and stackers, behind us.

“What you end up with is a big pond where we take from the front and put it in the back, so the whole pond continues to move along the mine path following the ore body.”

The mining operation will, at full production, mine and process at a staggering production rate of 55 million tonnes per annum. Over a projected lifecycle of at least 15 years, this equates to more than a billion tonnes of resources, with nearly 800 million in reserve.

The heavy mineral concentrate is then trucked

SUPPLIER PROFILE

Overlooking the initial dredged pond

WÄRTSILÄ WEST AFRICA

Wärtsilä is a global leader in complete lifecycle power solutions for the marine and energy markets. By emphasising technological innovation and total efficiency, Wärtsilä maximizes the environmental and economic performance of the vessels and power plants of its customers.

In 2013, Wärtsilä’s net sales totalled EUR 4.7 billion with approximately 18,700 employees. The company has operations in more than 200 locations in nearly 70 countries around the world. Wärtsilä is listed on the NASDAQ OMX Helsinki, Finland.

Website: www.wartsila.com

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Wherever you are, you’re never that far from our award winning global mining team.

Norton Rose Fulbright is a market leader advising on mining projects worldwide.

With over 50 offices worldwide, when it comes to doing complex mining deals, our global knowledge and experience are first class.

“Norton Rose Fulbright is regarded as an “international mining powerhouse”* “They are really very good, and they have a good project track record for African countries – especially infrastructure”* “Norton Rose Fulbright has a very fine mining practice …

They have a very good footprint”* *Chambers and Partners 2012, 2013, 2014

Global Mining Law Firm of the Year Who’s Who Legal Awards, 2012, 2013 and 2014 Band 1 Projects & Energy: Mining & Minerals Chambers Global 2014, Africa-wide

Law around the world nortonrosefulbright.com

Financial institutions | Energy | Infrastructure, mining and commodities Transport | Technology and innovation | Life sciences and healthcare

G R A N D E C Ô T E O P E R AT I O N S to the operation’s mineral separation plant where it is put through further stages of processing, all of which culminates in approximate annualised production of 575,000 tonnes of ilmenite (two grades), 80,000t of Zircon (two grades) and smaller amounts of Rutile and Leucoxene.

Reaching new scales While inevitable that each of these products will ebb and flow in regards to market demand over the course of the mine’s lifecycle, the flexibility of Grande Côte means that the range of products available from the operations will allow a rise in certain customer interest in one mineral to offset any shortcomings from another.

This is also testament to the sheer scale of

SUPPLIER PROFILE

MINING

“The project is of such a scale where using equipment that had been previously used elsewhere wasn’t an option.

Everything we built was brand new” – Simon Finnis, Chief Executive Officer, Grande Côte Operations

NORTON ROSE FULBRIGHT

Our award winning global mining practice is unique in its ability to offer a fully integrated service with dedicated practices in all major mining equity markets and jurisdictions including London, Canada, US, Africa, Australia, Latin America and Asia.

Our work spans the wide variety of natural resources, including mineral sands, rare earths, iron ore, coal, nickel, copper, bauxite, gold, diamonds, potash, oil & gas and uranium. We advise clients involved at every stage of the development cycle from fundraising to financing through to shipping and trading. In addition to our market leading mining project finance expertise, we are also recognised across disciplines including mergers and acquisitions, corporate and securities law, construction, alternative finance, environmental law, aboriginal law, litigation, international arbitration, operational health and safety and IP. We continue to advise on some of the world’s largest and most innovative mining projects and are regularly involved in reviewing local mining codes in the key mining jurisdictions across the world.

Website: www.nortonrosefulbright.com

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G R A N D E C Ô T E O P E R AT I O N S

Inside the 36MW power station

“The rail development has led to a key risk being eliminated in getting our products to port” – Simon Finnis

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the project, as Finnis explained. “The project is of such a scale that using equipment that had been previously used elsewhere wasn’t an option. Everything we built was brand new and purpose designed.

“It’s a brand new industry in Senegal but not in Africa necessarily. The processes we’re using are common and the same goes for the equipment. However, the scale is not common.

“From a mining perspective, it’s twice as large as any single dredging operation in the world so it’s a very significant project.”

Ensuring that all construction and mining requirements were available onsite has been a pivotal component of the mine’s potential success, and has recently lent itself to dealing with early challenges and teething problems.

Minor redesigns of the project and the implementation of new equipment is something that Grande Côte has been able to respond to quickly and effectively to ensure that optimum productivity is returned to within as short a time as possible.

Finnis continued: “It’s very important to us that we are self-sustaining so we built everything ourselves to make sure everything is catered for onsite, to be as efficient as possible.

“We’ve built a large facility at the port to store our finished products and load the vessels, as well as building a power station onsite to provide our electrical needs. We also have a camp, power lines and our own water system to ensure

MINING

we have everything we need, built ourselves.”

Supply chain management Continuing in this vein, Grande Côte has also taken the same internal approach to its supply chain, and especially its distribution channels via rail.

“From this point of view, we have also installed a brand new railway from the mine to Mecke to connect in with the national rail network, and have refurbished the line from there to Dakar Port, which we are also managing as we transport minerals to the port,” Finnis said. “It’s been quite difficult because we’re introducing

New track from the MSP to Méckhe nears completion

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Grand Marine Oil and Gas (NIG) Limited is a company in the marketing of petroleum products and provision of marine support services in the downstream sector of the Oil and gas industry.

SERVICES Vessel Owners (Oil Tankers) Provision of Barges and Tugboats Provision of Jetty facilities Marine security services Shoreline protection services Bunker and Fresh water supplies Ship chandelling and Manning services Provision of House boats Marine consultancy services

C O N TA C T U S www.gramog.org info@gramog.org +234 (0) 808 0770 004

+234 () 803 317 3144 17c, Marine Road, Apapa, Lagos, Nigeria

GRAND MARINE OIL AND GAS

(NIG) LTD

G R A N D E C Ô T E O P E R AT I O N S brand new trains and brand new roads and a different culture from the point of view of maintaining that rolling stock in Sengeal.”

As a consequence, $50 million has been invested into the rail builds and refurbishments with the operation having received a concession from the Government to manage it internally.

Finnis continued: “The rail development has led to a key risk being eliminated in getting our products to port. The roads here may be a lot better than in other African countries but it is still quite difficult from a traffic and efficiency standpoint. 700,000 tonnes per year heading to port is not feasible via trucks.”

For such a large scale operation, supply chain considerations have played an integral

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GCO’s locomotives and rolling stock are part of its fully integrated logistics solution from mine to ship

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The talent provider of your choice.

C2K Staffing SARL is a Senegalese company providing services in recruitment, staffing and human resources management.

C2K is a talent provider to national and multinational companies operating in the West African region. It offers and implements flexible and fast solutions to the requirements of its customers in various sectors: mining, energy, construction, manufacturing.

The following services are provided by our experienced and committed team:

· Head Hunting · Classic Recruitment · HR Management/Payroll · Enterprise Networking · Training and seminars

www.c2kstaffing.com

G R A N D E C Ô T E O P E R AT I O N S role from the outset, with Grande Côte requiring the correct skills and equipment throughout the construction phase.

In regards to the large amounts of steel, pipework, cables and dredges being purchased, availability simply isn’t there in Senegal, so a lot of the essential components were imported. However, the operation’s dedicated local focus was accounted for in terms of labour via nearby contracting companies.

“From a purchasing perspective now, we try and purchase locally as much as possible, keeping availability and price in mind,” Finnis added.

MINING

“Skill sets in areas like trades, instrumentation and high tech plant aspects we don’t see a whole lot of, so we just have to make sure we tailor our training for areas like that” – Simon Finnis

Employ and train The theme of local commitment and corporate social responsibility (CSR) is one that resonates

SUPPLIER PROFILE

C2K STAFFING

C2K Staffing LTD is a Senegalese company that provides services in recruitment, staffing and human resources management. We are a talent provider to national and multinational companies operating in the West African region. C2K Staffing LTD offers and implements flexible and fast solutions to the requirements of its customers in various sectors: mining, energy, construction, manufacturing…

The reputation of our company is well established it is based on a single word quality; by making available to our partners the best profiles in the market. Our expertise comes to us from our permanent contact with the labor market. www.c2kstaffing.com

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HC is an international structural steel fabricator and erector located in Spain, specializing in industrial facilities and equipment, public buildings, bridges, footbridges, sports stadiums and heavy plate work.

For the “Grand Cote Mineral Sands� project we have fabricated the structural steel for the wet concentrator plant, including the floating pontoons, platework and major structural steel buildings.

www.hortacoslada.com | hc@hortacoslada.com | Telephone : (+34) 91 886 59 70, | Fax : (+34) 91 886 59 75

G R A N D E C Ô T E O P E R AT I O N S throughout everything that Grande Côte does, and becomes especially prevalent in regards to employment and people management over the entire lifecycle of the mine.

Similarly to the supply chain situation, the skill sets aren’t available in a lot of key operational areas, but this certainly does not mean that Grande Côte has cast aside the premise of local workers, and is instead devoting much of its efforts to developing and promoting the best that the surrounding region has to offer.

“It is true that in some areas the skill sets just aren’t there; there aren’t the people who can operate certain items of plants, so our

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Highly trained experts

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We sell fruits and vegetables, cement, iron, concrete, wood, electrical equipment, electronic services and industrial equipment all home delivery.

Tel: 77 540 28 11 / 76 688 34 58

CardnoKnows Africa Cardno BEC is proud to have been involved in Grande Cote Operations project since 2011, providing electrical and control systems engineering.

ANUBIS PTY LTD is a South African based engineering company servicing the mining industry in Africa.

We have been operating in Africa for many years, and in addition to the Grande Cote project, we have undertaken a number of significant projects in countries including Ghana, Cote D’Ivoire, Burkina Faso, South Africa, Zambia and Mauritania. Collectively these projects demonstrate the depth of experience and commitment we have to Africa.

We provide professional SMEI turnkey solutions from design, construct to commissioning. This includes: • Turnkey Plant and Equipment • Overhead Lines • Power Generation • Motor Pump Control (Drives, Soft Starters, DOL) • IEC MCC and Switch gear • PLC and Advanced Control Systems • Corrosion Protection • Protective Lining for Bins and Chutes • Fire Protection • Procurement Services

W: www.anubiseds.com E: info@anubiseds.com T: +27(0)329470709

For more information contact: Phone +61 8 9472 4224 Email cardnobecperth@cardno.com

www.cardno.com

G R A N D E C Ô T E O P E R AT I O N S philosophy is to employ and train,” Finnis said. “We have a highly skilled set of expats here doing the training for us and there are very well educated people here who will continue to grow in the organisation.

“Skill sets in areas like some trades, instrumentation and high tech plant aspects we don’t see exist, so we have to make sure we tailor our training and expatriate support for areas like that.

“We are looking long term and building for the future so that in a couple of years the local guys will have received the high levels of guidance and mentoring required to take over from the expats and to run things themselves.”

Local focus CSR and sustainability doesn’t just stop at employment opportunities either, with a tailored sustainability department set up to cover areas of environmental considerations, health and safety procedures, community initiatives and corporate aid.

“Beginning with the Grande Côte workers, in a perfect world we employ people locally rather than from Dakar so they can go home every night to their families, get plenty of rest and come to work refreshed and happy,” Finnis said. “We have therefore started a housing scheme so our workers can afford to buy and own their own home over a number of years.

“We have set this up with BHS, a Senegalese

MINING

“We are looking long term and building for the future so that, in a couple of years, the local guys will have received the high levels of guidance and mentoring required to take over from the expats and to run everything themselves” – Simon Finnis

Top view of the surge bin on the Wet Concentrator Plant

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Zircon and rutile storage at the Mineral Separation Plant

institution that specifically targets the support of housing projects, where they will purchase land and we will assist in getting our people approved for mortgages which is usually a difficult process. We will look out for them and do what we can to help them get their own home in the local area, close to where they work.”

A strong health and safety adherence promotes this ethos further, with hazard identification a pivotal factor not only for the organisation’s direct employees, but also the local population in general.

Finnis continued: “It is not uncommon in Senegal to see things like people riding around

SODIAL is the First West African ISO 9001 certified company in Food supply, Storage, Packing and Logistics.

SODIAL is specialized in distribution to remote site facilities, off-shore platforms, vessels, on site convenience stores, hotels, supermarkets, restaurants, snacks, general & micro distribution.

Using a unique central purchasing department with wild storage facility dedicated for a large number of products SODIAL is your partner to get what you need wherever you are.

To secure strong partnership, SODIAL is committed to a policy based on: • • • • • • •

+221 33 869 06 10

www.onomohotel.com

Customer Satisfaction Product range Availability Flexibility & Reactivity SHE Compliant Respect of Procedures Respect of local Rules & Specificities Respect of international Standards

SODIAL is an international company with distribution network in all West Africa CONTACT US: +221 33 821 18 92 or thru our Web site www.sodial.sn

MINING

Recent aerial view of the Grande Côte mining area

on the roofs of buses, and other hazardous behaviours but of course we can’t accept that because of the safety risk to our people.

“We therefore spend a lot of time training and planning to make sure that everything is not just as environmentally efficient as possible, but is also as safe as possible.”

Market acceptance Following the eight years of hard work, the next key phase to dictate the overall success of Grande Côte will be the market’s acceptance of the organisation’s products, something which Finnis anticipates being a relatively smooth transition, based on feedback already received.

Project location in Senegal

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G R A N D C O T E O P E R AT I O N S

Dredge Launch

Dredge Launch

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“Every time you introduce a new product, customers need to get used to that and we’ve sent some trial parcels to various places like China and North America over the past year,” the CEO explained. “We have seen acceptance of the products on a trial basis and we hope to do long term business with them, on ilmenite especially. From a zircon perspective we already have some long term partnerships in place.”

There will inevitably be a period of time now while prospective customers assess the products coming out of Grande Côte but there is likely to always be a product among the range which is performing well to ensure the

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ongoing success of the overall operation.

“The products we’re going to make are high quality and they will gain market acceptance,” Finnis said. “There will always be periods in the industry when the market is soft and then times where it’s good. It’s just a case of getting from one period to the other as smoothly as possible.

“For instance, the market is robust on the zircon side of the business right now but soft in the ilmenite market.”

Company Information INDUSTRY

Mining HEADQUARTERS

Senegal, West Africa FOUNDED

World class business While many companies have short and medium term goals, the lifecycle of this mine means that Grande Côte can look even further ahead at the bigger picture, and Finnis believes that much of the organisation’s overall targets will be visible within just five years, especially in regards to its influence on Senegal.

“In five years’ time we will be a well-known and well understood business in Senegal,” the CEO concluded. “We’ll be an integral part of the community, providing a continuous revenue stream and providing jobs to local people.

“In just a few years, the number of expats will be reduced, the expertise of the locals will be increased and we will be providing a platform for the people of Senegal to go on to bigger and better things in the future as well.

“We’ve come in and built a world class business and it deserves to be managed to the highest levels possible.”

2006 EMPLOYEES

950 REVENUE

N/A PRODUCTS/ SERVICES

Mineral Sand Mining

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New Era for Discovery Metals Written by: Laura Close Produced by: Anthony Munatswa

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Brad Sampson with President

Board members at the

Seretse Khama Ian Khama

Official Opening

Boseto Concentrator

Discovery Metals financial stabilisation has opened the door to underground mining for the company

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D

iscovery Metals Limited is a copper and silver concentrate producer from its 100 percent owned major asset, the Boseto Copper Project in northwest Botswana. The company was founded in 2003, and work at Boseto began in 2005.

The past five years have seen Discovery Metals evolve from an explorer to a copper-silver producer. Its last financial year was very successful—the company produced 18,000 tonnes of copper, and are looking to produce between 24 and

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Key Personnel

Jeremy Read Executive Chairman

Traditional dancers perform for community and employee guests

25 thousand in the next few years.

Although Discovery Metals hasn’t always been as stable as it has been for the past year or so, moving forward the increased production in Boseto, exploration and production in underground mines and the company’s continuing expectation for a safe and effective company culture will guide Discovery Metals into a new era of mining in Africa.

Jeremy Read has 23 years domestic and international minerals exploration experience and was previously the Manager of BHP’s Australian Exploration Team.

He has extensive exploration experience for nickel and copper sulphides and played a critical role in the discovery of Kabanga North Nickel Deposit in Tanzania.

Jeremy was the founding managing director of Discovery Metals from its incorporation in May 2003, until his appointment as a non-executive director on 1 February 2008. Mr Read secured the Boseto Copper Project for the Company and was responsible for all Discovery Metals’ fund raising activities and for listing Discovery Metals on the Australian Securities Exchange, Botswana Stock Exchange and the Alternative Investment Market in London.

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D com Sub Sa DTH a

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Head Office: T: +27 14 573 3444 • F: +27 14 573 3555 • E: info@discoverydrilling.co.za Botswana: T: +26 7 261 5870 • F: +26 7 261 5775 • E: louw@discoverydrilling.co.bw

RILLING DYNAMICS DONE DEEPER

Discovery drilling is one of the leading diamond drilling mpanies in South Africa, drilling any where south of the ahara. Drilling from BQ to T6-146 size core. We also do and RC drilling and we manufacture our own drill rigs.

We are big enough to matter and small enough to care.

www.discoverydrilling.co.za

SUPPLIER PROFILE

DISCOVERY DRILLING CONTRACTORS

Established: 1999 Industry: We are proud to present Discovery Drilling Contractors as the complete solution for exploration drilling needs. Our service is solid, based on experience and quality of both management and field personnel, as well as rugged, safe and dependable drilling equipment.

Services: Discovery drilling is one of the leading diamond drilling companies in South Africa, drilling any where south of the Sub Sahara.

Drilling from BQ to T6-146 size core. We also do DTH and RC drilling and we manufacture our own drill rigs. We are big enough to matter and small enough to care.

Ongoing Projects: Keeping to our standards and maintaining momentum in development and delivery of excellent service is the key for a promising future. Although Discovery Drilling already is a sizeable drilling venture, it will not be allowed to slide into an oversized, clumsy entity. Our short to medium term planning is to expand drilling operations into sub-Saharan Africa.I, as the director of Discovery Drilling Contractors want to assure you of our professional service and loyalty towards your company.

Website: www.discoverydrilling.co.za

D I S C O V E R Y M E TA L S

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mine life of 15 years. Because the mine has been so lucrative, Discovery Metals is currently developing a plan to increase the life of the mine to 25 years. Boseto is part of the Kalahari Copperbelt Prospecting Licence, which covers over 10,500 square kilometres from Zambia in the northeast of Botswana down to the southwest of the country. The Kalahari Copperbelt is underdeveloped and has a lot of potential, so the company will be investing more time and effort into exploration and eventual production.

“The backbone and the positive thing for us is that we have inherently concentrated or we’re the only operation within the Kalahari

“The backbone and the positive thing for us is that we have inherently concentrated or we’re the only operation within the Kalahari Copper Built” – Bob Fulker, CEO

Updated mineral resources and ore reserves map

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D I S C O V E R Y M E TA L S

Ore moving through the crushing circuit

Video links

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Copper Built,” said Bob Fulker, chief executive and operating officer. “We’re the first company to develop an operating mine. There are a lot of others out there that are trying to do what we’ve done. They are still exploring, still trying to get their projects approved or funded.”

The main ore bodies on Boseto are Zeta, Plutus and Northeast Mango Two. There are also Zeta Northeast, Mango, and Northeast Mango One. Within the Kalahari Copperbelt, the company also has 10,000 square kilometres of exploration leases.

MINIG GLOBAL

Storage shed

Underground Future Currently, Discovery Metals is out in the market with the goal to raise equity from current shareholders and a few potential new shareholders to proceed into underground development operations. The company wants to start exploration in the beginning of the calendar year 2015.

“The money raised will fund the first of those underground developments,” said Fulker. “The cash flow to be generated for that underground development will then be put back into

“We’re the first company to develop an operating mine.

There are a lot of others out there that are trying to do what we’ve done.”

– Bob Fulker

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EMS Mining a contract mining company executing specialised mining services both surface and underground mining projects. We have the operational ability, track record and the necessary resources to execute a safe, professional and successful project, incorporating our various disciplines and key skills.

Providing

quality market leading mining services

■ Mine design and planning ■ Vertical shaft sinking ■ High speed trackless development ■ Raise boring ■ Underground production drilling ■ Surface drilling and blasting

Tel: +27 (0) 11 234 7054

Cell: +27 (0) 82 352 0222

Email: info@emsmining.co.za

P.O Box 21659, Maun | Office No1 Mogobe Complex, Maun

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D I S C O V E R Y M E TA L S

MINING

subsequent underground development.”

The planned underground development is expected to wield enough to get Discovery Metals’ copper output above 36,000 tonnes per year. This is a long term goal, with multiple underground operations eventually feeding the mill. Once the underground mines are established, mill expansion will follow.

The site at Mango 2 is the highest prospective for another underground site, but the company still has drilling and some in-hill resource analysis planned.

With the leap into underground mining, Discovery Metals is also considering an upgrade in technology. The aim of this upgrade is faster development cycle that will give the company the ability to access the ore quicker.

The new technology is planned to keep track of employees while on the job and provide better communication and data transfer.

“It’s not new technology,” admitted Fulker, “but it’s not a widely used set of tech that underground fraternity uses. There’s a need to be able to track your people from a safety perspective and from a blast clearance perspective. Anything that can help in those areas will improve our safety culture, which is something that we’ve been working hard on in the last 12 and 18 months.”

Key Personnel

Bob Fulker CEO Bob Fulker is a highly experienced mining engineer with more than 20 years senior leadership experience in the minerals industry in both operational and technical roles. He has a broad foundation of experience in metalliferous, coal and ferrous commodities in underground and open pit operations and focuses on improving mining business efficiency. Bob’s most recent role was as Asset President at BHP’s Cannington Mine.

Community Relationships Discovery Metals employs predominantly local employees. Much of the workforce lives directly w w w. d i s c o v e r y m e t a l s . c o m

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D I S C O V E R Y M E TA L S

Tailings Dam

“We’ll always have open pits in the area as long as there is pittable material. But I think underground is the future.””

– Bob Fulker

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October 2014

Zeta Mining Pit

around the mines, with the rest coming from other parts of Botswana and a core of ex-patriots from South Africa, Zimbabwe, Ghana and Australia.

All of the company’s front-line operators are local and well as several of the superintendents and six site managers.

To support their employees, Discovery Metals provides workers with two camps and two mess halls. The entire workforce eats together—three meals a day are provided for all employees, and the rest of the accommodations are relatively generic for a mining work site.

The company also employs a dedicated community relations officer, who is intimately involved in the community in the region and in a broader scope in Botswana. The community relations officer and the HR manager have created community programs for each of the mine’s

MINING

Company Information INDUSTRY

Mining HEADQUARTERS

Brisbane, Australia FOUNDED

2003

Road from Zeta Mining Pit

EMPLOYEES

surrounding villages that the chief in each village runs. This connection the community allows the company to continue to attract their workforce, all while providing services to the region.

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Stabilisation Leading To A New Era As Discovery Metals moves forward with their plans to venture into underground mining, the stabilisation of the company on multiple levels is what is that got them this far.

“In the last 6 to 12 months, we’ve stabilized operations and we’ve stabilised the company,” commented Fulker. “We’ve taken time to consider how to do that. Eventually we’ll position the company to start operations in a new era for us in discovery. We’ll always have open pits in the area as long as there is pittable material.

But I think underground is the future.”

PRODUCTS/ SERVICES

REVENUE

AUS $60m

Copper and silver concentrate

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BCM Group Aims for the Top With class-leading equipment, an experienced workforce and an ethical approach to operations, the company’s ambitious goals in Africa and beyond appear justified Written by: Joel Levy Produced by: Anthony Munatswa

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BCM GROUP

‘Having operated in Africa for more than two decades, family-run BCM has earned a reputation as one of the most experienced and established mining contractors servicing the West African mining industry’

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W

est Africa’s largest contractor, BCM Group, is pushing forward with its vision to become “the leading innovative and professional civil earthmoving and Open Cut Mining Contractor operating in Sub-Saharan Africa and Central Asia”.

The company has a solid plan in place to achieve this ambitious goal through continued best practice and service to its existing client base as well as new entrants to the mining scene in Africa and Central Asia, while customising solutions for their mining extraction requirement.

Since it entered Ghana in 1990, the Group, which began life in the 1950s in Australia as Bayswater Contracting, has enjoyed significant growth to the point where it now has 10 operating subsidiaries, and employs some 1,500 people, servicing clients in diverse locations.

Having operated in Africa for more than two decades, family-run BCM has earned a reputation as one of the most experienced and established mining contractors servicing the West African mining industry.

It has become recognised for its consistency in completing projects on-schedule and budget, working closely with clients through its mining and civil estimation department to ensure the customer’s specific project requirements are met within their financial constraints.

The Group’s wide-ranging specialities covers haulage of ore and waste, drilling and blasting environmental rehabilitation of waste, road survey

Hauling ore and waste from the mines

and construction, concrete and earthworks, site clearing, water storage dam construction, plant hire, crushing and more.

Experienced In a technical sector where the value of experience and a proven track-record cannot be overstated, BCM considers its 20 years in Ghana key to its success. In this location it has worked extensively in local cultural and business practices, workforce management, local business relationships, tax and corporate compliance matters, banking relationships and other logistical practices.

It is vital experience that the Group has

Crushing conveyer belt

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Atlas Copco Ghana Limited Committed to Sustainable Productivity Sustainability has always been one major constituent of Atlas Copco’s business in every part of the world.

In this tough economy, customers desire to save energy, improve their operations and make returns on investments. Atlas Copco, an industrial group with world-leading positions in compressors, construction and mining equipment, power tools and assembly www.atlascopco.com Tel: 0302774512 info.ghana@gh.atlascopco.com

systems meets all these customer expectations and delivers sustainable solutions for increased customer productivity through innovative products and services.

With a vision to become and remain First in Mind – First in Choice® of its customers and other stakeholders, Atlas Copco Ghana Limited operates through a number of

divisions within three main business areas; Mining and Rock Excavation Technique, Compressor Technique and Construction Technique.

Atlas Copco Ghana Limited boasts of a well-defined aftermarket (service) team which offers expert service and training to customers to increase their production capacities.

BCM GROUP

MINING

successfully transferred to other parts of SubSaharan Africa and the Central Asian region as it has established itself in both- the only western contractor to do so. BCM sees these as markets with huge potential, as dominant producers of the world’s minerals and precious metals, which will be important in driving further growth going forward.

Over the years, BCM has developed strong relationships with many key clients that are a major part of the international mining and engineering services companies operating in Africa today. With such customers as Anglogold Ashanti Limited, Ghana Australian Goldfields, Lycopodium, Semafo Holdings, Sabodala, Nevsun Resources and many more, it is clear that this is a company trusted by the industry’s major

SUPPLIER PROFILE

Providing equipment to mines

ATLAS COPCO

Atlas Copco is a world-leading provider of sustainable productivity solutions. The Group serves customers with innovative compressors, vacuum solutions and air treatment systems, construction and mining equipment, power tools and assembly systems. Atlas Copco develops products and service focused on productivity, energy efficiency, safety and ergonomics. The company was founded in 1873, is based in Stockholm, Sweden, and has a global reach spanning more than 180 countries.

Website: www.atlascopco.com

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BCM GROUP

Trucks ready for Ore transportation

‘BCM’s services are particularly valuable to the smaller, undercapitalised mining companies, enabling them to develop mines faster and more economically’

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October 2014

players. In Asia, the Group also works with Oxus Gold and Glencore/Kazzinc.

BCM’s services are particularly valuable to the smaller, under-capitalised mining companies, enabling them to develop mines faster and more economically with access to a skilled workforce and the best equipment without having to make huge investment. Conversely, the larger mining companies benefit from increased productivity and plant utilisation rates.

Current successful ongoing operations are widespread, taking place in Sierra Leone, Ivory Coast, Burkina Faso & Niger. The company is also operating in Uzbekistan and Kazakhstan.

MINING

Reliability The Group’s offering is enhanced by strong Logistic and Supply Chain Departments which work collaboratively to ensure all projects in West Africa and the CIS countries are constantly equipped with the necessary spare parts and mining consumables.

These departments are highly knowledgeable in the appropriate suppliers, transportation companies, customs regulations, warehousing, material handling, packaging and security, ensuring the timely delivery of all equipment, parts and consumables to all on-going projects.

The reliability afforded by this level of expertise

Supplying spare parts

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BCM GROUP and market knowledge is important to clients’ confidence in getting their projects completed on-schedule and part of the reason for their faith in BCM. In Ghana, the company has a large central warehouse and component rebuild facility to support its West African Operations.

Excavator in action

Latest equipment BCM has been rated as possessing the best rebuild facility and quality of work, a significant accolade in a field where rivals include large companies like Caterpillar and Komatsu.

Taking its cue from such companies, it also

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MINING

uses the most advanced and reliable construction equipment and technology to assist in getting the job done efficiently and to the highest standard.

Its ever-expanding list of plant and equipment is largely purchased outright, and on occasion supplemented by hired or leased equipment.

Permanent equipment currently includes 35 excavators ranging from 25 to 230 tonnes; 23 motor graders; 22 wheel loaders; 20 Atlas Copco drill rigs; 11 rollers and compactors; 18 dozers; two scrapers; 12 water carts; 105 dump trucks ranging from 50 to 100 tonnes and 24 tipper trucks.

It is a list that will continue to grow as the company inevitably wins ever more projects and

‘BCM has been rated as possessing the best rebuild facility and quality of work, a significant accolade in a field where rivals include large companies like Caterpillar and Komatsu’

The company has an ever-expanding list of equipment w w w. b c m g h . c o m

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Workers evaluating the land

Skilled staff working on site

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expands its clientele.

The BCM Group workforce has been strengthened by the fact that the Group’s increasing visibility and reputation have in turn increased the numbers of people keen to work there. Therefore the company enjoys access to the most skilled and driven people in the industry.

Success breeds success, and furthermore, potential recruits know that once they make a career at BCM, they will receive quality inhouse, on-the-job training to further develop their skills with a view to moving higher up the company’s ranks.

The Group’s workforce currently consists of 50 expatriate employees and over 600 national employees in Africa and 10 expatriate and over

MINING

100 national employees in Central Asia.

The excellent working environment has promoted long-termism and seen a good number of the core expatriate employees remaining at the company for many years, gaining broad experience of operational, technical and administrative levels, and ensuring consistency to complement the new blood.

Company Information INDUSTRY

Mining HEADQUARTERS

Accra, Ghana

Responsible operations The Group takes health and safety seriously and pursues a shared ‘Duty of Care’ policy with its staff as it strives to achieve an injury-free workplace. Senior management establishes a Safety Management Plan manual that meets the requirements of Local Regulations and puts in place measurable objectives and targets to ensure continual improvement aimed at the elimination of work related injuries and illness for each project.

BCM has additionally adopted South Africa’s NOSA safety management system across all its operations.

It also takes a proactive approach to environmental protection, developing a unique management plan specific to each area that is to be disturbed in order to minimise disruption during civil earthworks projects.

With responsibility underpinning a skilled, experienced workforce and quality equipment, there seems no reason why the BCM’s ambitious vision cannot become a reality.

FOUNDED

Early 1950s (as Bayswater Contracting) EMPLOYEES

1500 REVENUE

Not disclosed PRODUCTS/ SERVICES

Mining construction

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