Africa mining sector meets amid commodity price comeback

Cape Town – Investors and mining firms gather Monday at Africa’s biggest industry conference amid a newfound optimism that the uptick in commodity prices could shore up investment after years of downturn.

The annual four-day Mining Indaba in Cape Town takes place as demand in China, one of the world’s biggest consumers, begins to stabilise.

Commodities like iron, copper and tin are soaring to new heights, raising hope among analysts that this year’s conference may spur funding for new mining ventures.

“A lot of these prices are up 100 percent from what they were a year before, some only fifty percent, but some three or four hundred percent, so this should be the biggest Indaba we’ve seen in a couple (of) years,” said Peter Major, mining analyst at Cadiz Corporate Solutions.

The devastating price slump saw several commodity-dependent economies across Africa stagnate, with companies cutting jobs and some shutting down operations.

Africa’s biggest copper producers Zambia and the Democratic Republic of Congo (DRC) were among the worst hit, with thousand of jobs lost over the last three years.

The jobs bloodbath also hit South Africa, the continent’s most diversified economy which is battling poor growth.

Source: Angola Press News Agency