After a few years of low prices on the global market, prices of minerals are increasing, and expectations for Mozambique's mining sector are high.

Gareth Clifton

Mozambique Manager, Kenmare Resources PLC

About 3.5% of the ore that we mine is heavy mineral concentrate with economic value. This is sent to our mineral separation plant, where it is separated into three minerals—ilmenite, rutile, and zircon. In 2019, we produced just under 900,000 tons of ilmenite, 75,000 tons of zircon, and a relatively small amount of rutile. Although we produce far smaller quantities of zircon, it has a far higher value than ilmenite and represents around 30% of our revenue. We also started producing a mineral sand concentrate in 2019. The single-biggest market for our product is China, but we also ship to the US, Europe, India, Mexico, South Africa, and others. It is vital that we contribute to the development of the communities where we operate, which are rural areas with little preexisting infrastructure. Our goal is to ensure that communities see as much benefit as possible in terms of social and economic development from the mine. As soon as we started activities, we set up an independent development association, which produces three-year development plans based on consultation with local communities, which we implement with the communities, NGOs, and local and provincial governments.

Andrew Van Der Zwan

Chairman, MRG Metals Limited

In 2020, we will continue to conduct exploration work where we can given the limits of a COVID-19 environment. We are excited with the results thus far. We have identified 13 targets in the Corridor Central and Corridor South through airborne surveys. We have developed a low-cost way of exploring for mineral sands. We have spent in excess of USD1 million on exploration, and we expect to have a mineral resource estimate at inferred and possibly indicated level for Koko Massava completed by April 2020. From there, our plan will be to develop high-grade pockets to augment what we have discovered already at Koko Massava. This may allow us to build up a tier-one, world-class asset in the next few years, during which time we will need to get one of the larger players to step in and work with us. We will look for the appropriate partners with the financial capacity to help take us to the next level. In addition, if the government wanted to get involved, we would certainly look to work with it as there is significant opportunity for project development for both government revenues and community improvement.

David Archer

CEO, Savannah Resources

Our approach, which concentrates on a dry-mining methodology, will provide a lower cost development of the project as well as flexibility and durability. This means the capital cost of the development—approximately USD200-225 million—will be lower than a conventional dredge style of development. The HMS market in Mozambique in general looks attractive to investors. A great deal of Australia's deposits have been exhausted now, so countries like Mozambique, Madagascar, and Kenya are now picking up the ball and providing the main production volumes globally. There is an excellent opportunity for Mozambique to continue building its presence in the global industry. Savannah Resources has a significant commitment to partnering with local communities to provide a catalyst for economic growth within Inhambane Province. First, in terms of job creation, we will be looking to directly employ around 330 people, which in turn will generate thousands of indirect jobs through the multiplier effect. Besides providing jobs, we have invested great efforts in our CSR, with a focus on building careers and a skill base. We have an active program helping local schools.