Mali forms new state-owned mining firm
The government of Mali has formed a new a new state-owned mining company. Lamine Seydou Traore minister of mines, energy and water revealed the company has already obtained its legal status.
The state owned company has been named Société de Recherche et d’Exploitation Minière du Mali (Sorem SA). Its responsibility included of exploring for minerals and developing mines, creating hundreds of local jobs in the process. Other tasks for Sorem SA includes training of specialized workfoce, exploring mining technologies for growth benefit and also exploring other mining projects aside from gold.
“For the mines that will be developed by Sorem, the state will get 100% of the benefits,” said Souleymane Gueye, president of the legal commission of Mali’s transitional government.
Mining in Mali
Mali’s mining industry is dominated by gold extraction which has given it the ranking as the third largest in Africa. Artisanal miners play a large part in the mining of diamonds. The other minerals extracted are rock salt and semiprecious stones. Phosphates are mined in the Tilemsi Valley. Gold, followed by cotton, is the top export item making a large contribution to the economy of the country.
The Ministry of Mines estimates Mali has 800 tons of gold deposits, two million tons of iron ore, five thousand tons of uranium, 20 million tons of manganese, four million tons of lithium, and ten million tons of limestone.
As the government seeks to reduce dependency on gold and diversify the mining sector, foreign firms have a unique opportunity to support this expansion. Mali has also formalized and reformed the process of registering and delivering research and exploitation permits to mining companies.
