G-Stones Resources signs deal with gov’t to exploit iron ore in South region

BUSINESS 20 Nov 2019
G-Stones Resources signs deal with gov’t to exploit iron ore in South region

By DOH JAMES SONKEYAFTER the signing Thursday
G-Stones Resources has received the go-ahead from the government of Cameroon to exploit iron ore in the locality of Akom II in Ocean Division of the South West region. A convention agreement to that effect was signed last November 14, 2019 in Yaounde between the government represented by the Minister of Mines, Industries and Technological Development, Gabriel Dodo Ndoke and the Director General of G-Stones Resources, Dieudonne Bougne.
The Minister while stating that “the signing of this agreement is the end result of a long period of discussion between the state of Cameroon and this business group,” reassured that government has taken necessary measures so that the exploitation of the iron ore in Akom II handles employment opportunity for young people, provides electricity to Grand Zambi, Akom II, Ajap, Bipindi and even inject some production into the national network and bring meaningful development to Cameroon as a whole.
The contract specifies that “In direct employment, G-Stones Resources SA will hire 3,500 people, a minimum of 75% of whom will be Cameroonians at the beginning of the activity with the goal of reaching 95% by the end of the 15th year of operation.”
The contract indicates that the company plans to produce 2 million tons of iron concentrates per year through a mine and an enrichment unit. The iron concentrates produced, will for the most part be processed locally within the steel complex which the company must build in the vicinity of the mine. The facility will initially produce 500,000 tons of billets per year of which 150,000 tons will be sold and 350,000 tons processed into concrete reinforcing bars, the company explained.
As a limited company under Cameroonian law with a capital of two billion, one hundred and twenty five million FCFA, G-Stones Resources has contracted several foreign firms to carryout the research work for the project in order to achieve the results that are subject to the recent convention signed. In terms of the conduct of research and drilling, it has recruited several international experts including Canadians, French, South Africans, Australians and Congolese to provide training for young Cameroonians.

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