Shoots of recovery in Congo

Equatorial Resources has announced that it will invest US$1.2B in its Badondo iron ore scheme in the northwest of the Republic of Congo, and has already submitted a mining license for the project. It expects to start developing the mine next year, and intends to eventually produce 40 Mtpa. John Welborn, CEO of the company’s local subsidiary, Congo Mining Exploration Ltd, said: “The recent improvement in the price of iron ore makes Equatorial confident that it will find the necessary financing to develop the mine.” Welborn has previously described Badondo as a “monster” project.
 
A dedicated iron ore terminal will be required, probably at Pointe Noire on the Congolese coast. Badondo is located close to a number of other planned iron ore projects, within Congo and Gabon, including Belinga in Gabon and Sundance Resources’ Mbarga and Nabeba. It will therefore make sense to jointly develop and share rail and port infrastructure, particularly as the area in question is fairly remote. Other iron ore projects in the region, such as Mayoko-Moussondji in Congo, should be easier to connect to export infrastructure.