Ghana is inviting investors to submit plans on how to tap the nation’s bauxite deposits as the government seeks to leverage more of its mineral resources to fund infrastructure.
Ghana Integrated Aluminium Development Corp. is receiving proposals on how to expand bauxite production and buil refining and smelting capacity for the manufacturing of alumina and aluminium, Chief Executive Officer Michael Ansah said in an interview with Bloomberg.
The state-owned company was created last year to implement the government’s strategy for the industry.
Interested parties can submit bids over three rounds, of which the first one closes at the end of the month. Mr Ansah said.
The country wants to raise annual output through these round of deals to 5 million metric tons, from 1.4 million tons at the moment, Ansah said.
West African neighbor Guinea, the largest exporter of bauxite to China, produced about 50 million tons of the aluminum ingredient in 2018, according to the U.S. Geological Survey.
The government of President Nana Akufo-Addo is seeking to use the proceeds of bauxite mining to build schools, hospitals, bridges and roads.
Last year, it concluded a $2 billion deal with China’s Sinohydro Corp. for infrastructure projects, an agreement that it will finance with the proceeds of refined bauxite sales.
The country also mines gold, diamonds and manganese, and is the world’s second-biggest grower of cocoa.
Ghana’s plans to increase bauxite output come even though the aluminum market has declined for the past year, reversing a surge in April 2018 that happened in the wake of sanctions on major producer United Co. Rusal.
Priority projects include:
- A refinery for alumina production, estimated to cost $1 billion.
- Raising output capability of the Volta Aluminium Co. smelter to 350,000 tons, from 200,000 tons. The refinery is currently operating at a fifth of its capacity.
Have your say
More Business Headlines
- Ghana, Cote d'Ivoire resume sale of cocoa beans
- UBA unveils marketing platform for entrepreneurs
- BoG keeps policy rate at 16%
- Electric car models to triple in Europe by 2021
- Boeing to take $4.9bn hit in second quarter on 737 Max grounding
- Ghana's debt now GHS200 billion
- Gov’t urged to formulate new tax compliance rules for increased revenue
- Vodafone talks private sector relevance in SDGs at UN Forum
- Nelson Mandela Day: Barclays, ALU scholars pay courtesy call on SA High Commissioner
- Insurance industry could wield more money than banks – Rev Okosun
- Engage NIC to avoid casualties - CIIG
- Kingdom Exim Ghana, CEO awarded at Ghana Shippers Award 2019
- Enforce laws barring foreigners from retail trade - Majority Leader to agencies
- GTBank, Ria partner Zeepay to launch Ria2Mobile money transfer service
- AirtelTigo mentors 40 young aspiring entrepreneurs