Algeria to invite bids for major mine project

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Algeria to invite bids for major mine project

Algeria has announced plans to invite global bids for one of the largest iron mines in the world as part of a strategy to develop its metal industry for export and local consumption.

The Corporation Director General, Ahmed bin Abbas revealed the plans and said the tenders will be issued by the National Steel Corporation in Septmber to tap the Gara Djebilet mine, which is located in Tindouf Province in western Algeria.

“We intend to launch an open international tender in September for investment in Gara Djebilet mine…the tender will allow us to select partners wishing to invest in this strategic project,” Abbas said.

Algeria’s iron production and supply

The project would largely boost Algeria’s iron production and supply local factories with sufficient feedstock. Recently the mine, which was commissioned in July has estimated iron reserves of nearly 3.5 billion tonnes, of which 1.7 billion tonnes are exploitable.

Algeria, a country of 44 million, is the largest and one of the wealthiest countries in Africa. The Algerian economy is heavily reliant on hydrocarbon revenues, and the sector is the backbone of the Algerian economy.

Algeria remains mainly underexplored as regards to non-hydrocarbons mineral deposits. The country enjoys a huge untapped potential for several minerals including iron ore, phosphate, gold, copper, zinc, lead, marble, bentonite, barite, manganese, wolframite and other useful minerals. Most of the country’s mining potential, including minerals and rare earths, remains insufficiently assessed.

According to data from the World Bureau of Metal Statistics, as of 2019, Algeria produced about 777 thousand metric tons of iron. The global production of iron ore for that year was about three trillion metric tons.

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