Mines/ Metalllurgy/ Iron and Steel

Cameroon has a high potential of mineral resources with over 52 types of mineral substances:
-Precious stones (gold, diamond, sapphire, platinum, graphite, etc.).
- Energy-related substances (petroleum, natural gas, lignite, schist bitumen, uranium, etc.).
-Metallic substances (titanium, bauxite, cobalt, nickel, iron, chromium, magnesium, lead, zinc, tungsten, etc.). 
- building materials related substance , marble.
Mineral resources with important reserves: crude oil, natural gas, titane oxyd, bauxite, uranium and iron ore.
Cameroon’s proven gas reserves are estimated at 3.9trn cu ft.

 

 

 ENERGY AND HYDROCARBONS

 

For a long period, Cameroon’s economic expansion was generated by the oil sector, which was then the most  dynamic  sector  of  the  country’s  economy. The sharp rise in crude prices on the world market is a booster to the sector, despite the gradual depletion of oil deposits. Many businesses operate in the sector, including the  production  of  crude  petroleum  oils,  the  main export  product,  as  well  as  the  sale  of  fuel  and lubricants and production of crude oil.

 

1 - A more attractive legislative framework: Cameroon   implemented   a   number   of   measures aimed at making the contract and fiscal framework more  attractive  to  oil  companies,  with  a  view  to reviving     exploration     and     encouraging     the development of low-yield oil fields as a means of compensating for dwindling production.

Thus  two  types  of  petroleum  contracts  can  be signed: the concession contract (CC) or the production-sharing contract (PSC). SONARA, the country’s   lone   oil   refinery,   sells   65%   of   its production locally.

 

2-  Gas: An opportunity to be seized.

It  has  been  known  for  over  twenty  years  that Cameroon possesses 160,000 million cubic meters of proven gas reserves in the Rio del Rey and Kribi basins.  Unfortunately,  these  reserves  are undeveloped for reasons of profitability and absence of markets. The load shedding that the country has been facing since 2002 due to a persistent shortage of electric power may provide a great opportunity for the development of existing gas deposits.

 

 MINES

Although the mining sector has been for a long time the engine of the economy prior to the crisis of the mid-eighties, other mineral deposits are yet to be explored, such as bauxite (1,200 million tones), iron ore (300 million tones), rutile (3 million tones), tin, limestone, uranium, and diamonds

Rich and promising subsoil :

Cameroon’s  mining  resources  are  still  exploited using  makeshift  methods,  whereas  the  country’s subsoil  is  replete  with  minerals  such  as  gold, bauxite, cobalt, iron, etc.

The Government has a medium-term plan to develop  the  mining  sector.  Measures  to  that  end have been initiated, an example of which is the law to lay down the Mining Code, which was enacted in April 2001, thus repealing the 1964 law which had become inconsistent with the country’s economic realities.

This  Code  seeks  to  develop  Cameroon’s  crude mineral    products    to    make    earnings    which compensate for the declining oil production. The mining Code seeks to incite investors by granting them,  during  the  mine  construction  phase, exemption from taxes and duties on materials, inputs and equipment required for production purposes. Simultaneously, it seeks to safeguard the interests of the 10,000 or so artisan miners in the sector by making provision for them to be registered and to set up micro-enterprises.