Could you introduce Grande Côte Operations and outline the group structure?

The company began with the Australian company Mineral Deposits Limited (MDL), which was granted a permit by the Senegaleese Government in 2004 for mining exploration and development. Mineral Deposits Limited was one of the pioneer companies in the mining sector in Senegal. In 2007, MDL was granted the right for a 130 km concession along the coastline in Senegal, sheltering a mining reserve of 25 years. In 2011, MDL joined forces with the French company Eramet to create TiZir Ltd – a 50:50 joint venture. At the same time, the government became shareholder of Grande Côte Operations (GCO) with 10% of its shares.  Under TiZir Ltd, GCO became part of a vertically-integrated business with the TTI smelting facility in Norway when the operation started in 2014. TTI is our largest ilmenite customer.

GCO has had a major impact on employment – we directly employ 750 people and create indirect jobs by a ratio of 2:1, ultimately impacting more than 2,000 people. The industrial compound comprises a mineral sand mine (WCP), a mineral separation plants (MSP), product storage, train and truck loading, over 130 km of railways and a port facility for bulk and container shipments.

We produce about 800,000 tons of heavy mineral concentrate (HMC) every year which gives about 630 tons of product. About 500 tons is ilmenite, produced at two-grade quality. The remaining product is mainly zircon with some rutile and leucoxine. GCO’s products are sold all around the world to over 50 customers.

How favorable are current market conditions for mineral sands?

Over the last two years, the mining sector went through a difficult time, which affected the TiO2–zircon business, putting pressure on product prices at a time when GCO was starting its activity and looking for profitability. Since then, our production capacity has reached its expected level and stabilized while the demand for our product has picked up as well as prices. We have not reached our designed capacity yet but we are deploying programs which will bring us there soon.

What has GCO’s experience been like in developing a mine in Senegal?

Since I was not part of the project at that stage, I have only the comments from some of the project initiators. The government was and is very supportive of our activities. It is remarkable how much the government representatives make themselves available to support our business. GCO’s relation with the Senegalees authorities is clearly built on mutual trust. GCO benefits from a good image and social reputation. Unlike most traditional mines, our environmental footprint is minimal as we rehabilitate the mining area immediately after mineral extraction and we are not using chemicals. GCO contributes to the sustainable development of the communities, bringing infrastructure, access to water, education, healthcare, agriculture and local business support. Last year, for example, 300 people living in the mining area were relocated into a brand new village we built, providing electricity through solar technology, schools and easy access to water. From our point of view, we feel that the Government of Senegal has a real intention to develop the country and make it attractive for the mining sector. After all, Dakar is the theater of various mining events annually.

What are the plans for further exploration and growth?

The market is currently favorable in terms of demand and prices. In that context, any unplanned shortage of supply by the competition becomes an additional opportunity to expand and increase our market share. We have to show agility, ambition and commitment to maximize our production capacity. In this regard, we are currently working on debottlenecking our operation to maximize the asset and we are expanding our mining capability, which might even bring us to consider other mineral sources.

Eramet, the French multinational, has recently acquired TiZir Ltd and is now the most important shareholder of GCO with 90% of shares. With 13,000 employees spread across 19 countries, GCO now has access to a large pool of knowledge and financial resources to support its growth objectives.

Do you have a final message regarding Senegal’s mining sector and GCO’s mission?

Senegal is a great country in which mining is a growing activity. Investment risks are mitigated by the country’s stability and the quality of its workforce. The level of competence makes it relatively easy to develop and implement new technologies and bring employees up to speed.

Safety is a major concern in the mining industry and GCO is proud to be among the best in terms of safety performance in its field, recording no lost time due to injury for almost one and a half years. In a young organization like ours, such an achievement is only possible with a group of competent people capable of lifting their standards to world best practices. Our objective at GCO is to be a value creator as well as the reference in our industry and a sustainable partner to the Senegaleese community.