Gabon-based mining company Société Equatoriale des Mines (SEM), which will exhibit for the first time at the 2015 Mining Indaba, taking place at the Cape Town International Convention Centre from February 9 to 12, was given a 28.45% stake in manganese producer Compagnie Minière de l'Ogooué (Comilog), a subsidiary of French multinational mining and metallurgy company Eramet, in December last year.

Comilog started production at its Moanda Metallurgical Complex, in Gabon, that has a capacity of 20 000 t of manganese metal and 65 000 t of silicomanganese, last month.

“We also signed a joint venture (JV) agreement with India-based mining company Navodaya Trading to develop the Okondja manganese project, in eastern Gabon. The deposit reserves are estimated at 27-million tons, with an existing railway within short driving distance,” says SEM CEO Fabrice Nze-Bekale.

Nze-Bekale notes that both partners, in proportion to their shares in the project, fund the exploration investments and that SEM has a call option on another 20% of the shareholding.

“We also signed two framework agreements with Moroccan phosphate producer OCP and minerals company Office National des Hydrocarbures et des Mines (ONHYM). Our agreement with the OCP group is for the construction of a fertiliser factory,” he says.

He explains that phosphoric acid from Morocco and ammoniac from Gabon will be combined to produce complex fertilisers that will be sold in sub-Saharan Africa.

The project will be operational in 2018 and production is estimated at two-million tons a year.

SEM’s agreement with ONHYM establishes a scientific and technical partnership regarding mining research, exploration and laboratory techniques, database organisation, investment management and environmental issues. There is also an option for SEM and ONHYM to jointly conduct exploration projects.

Nze-Bekale points out that the framework agreement signed with OCP will enter into the second phase of feasibility studies early this year.

Mining Indaba

SEM has sent representatives to the attend Mining Indaba every year since 2012, Nze-Bekale notes, adding that it is critical for the company to attend the event, as it provides visibility to promote its exploration gold projects which include Camp 6, Lombo Bouenguidi, Mavenza and Kolissen, as well as its ancillary marble project of Doussie Oussou, for which the company seeks JV partners.

“Our experience at the indaba has been amazing. The company has made many business contacts, which has provided us with great opportunities to promote SEM’s projects and investments in Gabon’s mining sector,” he says.

SEM will have a booth at this year’s event and will continue to present the company to the mining industry and promote its projects with a major focus on gold.