Taking Inventory:Africa's Mineral & Agricultural Resources

& their Impact in Today's Global Economy

Haki Kiema

February 25, 2009

Outline

Overview of Africa’s Geography Minerals

Diamonds Gold Uranium Petroleum

Agricultural Resources Cash Crops: Coffee, Tea, Cocoa Shea Butter Aloe Vera

African Wildlife Conclusion

Overview of Africa’s Geography

Disclaimer: Africa has too many resources to concisely present on, the presentation will therefore focus on some of the major world minerals & resources used in trade

http://videos.howstuffworks.com/hsw/7697-africa-geographical-features-of-africa-video.htm

Minerals & Resources The African continent supplies about half of the

world's diamonds as well as large quantities of Gold Uranium Platinum, copper, chromite, cobalt, manganese,

antimony, phosphate rock, asbestos, bauxite, tin, iron ore, tungsten, lead, zinc, silver, vanadium, and coal

From these countries come diamonds, gold, copper, cobalt, and a variety of other minerals.

Diamond

Minerals were created when magma poured into older geological formations and cooled slowly allowing the minerals to concentrate

A similar process produced diamond-bearing kimberlite deposits in countries such as the DRC, Botswana, South Africa, and Angola. Elsewhere—including Sierra Leone and other parts of the DRC—old streambeds contain diamonds that have been washed downstream.

Used as an abrasive in Cutting, Grinding, Drilling and polishing procedures

Used as a gemstone One of the main minerals responsible for major conflicts in the

continent

Diamond Producers

Country 2001 2002 2003(By Principal Countries)

Angola 5100 5700 6300

Australia 26176 33648 31013

Botswana 26190 28368 30412

Brazil(e) 700 500 400

Canada 3685 4975 11200

Congo, Dem. Rep 19637 21985 29000

Ghana 1132 963 904

Namibia 1487 1538 1455

Russia 20500 2000 24000

South Africa 11163 10883 12673

Other Countries 2230 2540 2743

Total 118000 113100 150100Total (African) 64709 69437 80744

Africa Contribution, % 55% 61% 54%

World Diamond Producers

Production of Diamond (In '000 carats)

Source : World Mineral Production. 1999-2003.

Gold

Gold is extracted from rich reefs that consist of layers of old metamorphosed sediments that have been tilted upwards.

Uses: Currency Electronics – the telephone (i.e. circuits) Space & Aeronautics – radiation shield Medicine – treats rheumatoid arthritis Environmental – catalyst in green chemistry Nanotechnology – nanostructures construction Engineering – lubricating coating Food & Drink – gold leaf Beauty – as nanoparticles Jewelry

One of the main minerals responsible for major conflicts in the continent

World Gold Supply

1999 2000 2001 2002 2003Total 2,526,771 2,587,742 2,602,178 2,576,602 2,590,391Total (Africa) 596489 574710 548481 553366 539397Africa's Contribution, % 24% 22% 21% 21% 21%

GOLD: WORLD MINE PRODUCTION (Kilograms)

Oil Production

2006 20071,000 barrels/dy 1,000 barrels/dy

Total 80682 80505Africa 9866 10151% Africa 12% 13%

Source: BP

Oil production by country

Uranium Production

Title: Uranium Production by countrySource: World Nuclear Association (WNA). 2006 2007

Ranking Country: Amount (tonnes): Amount (tonnes): 1 Canada 9862 94762 Australia 7593 86113 Kazakhstan 5279 66374 Russia (est) 3262 34135 Niger 3434 31536 Namibia 3067 28797 Uzbekistan 2260 23208 USA 1672 16549 Ukraine (est) 800 846

10 China (est) 750 71211 South Africa 534 53912 Czech Repub. 359 30613 Brazil 190 29914 India (est) 177 27015 Romania (est) 90 7716 Pakistan (est) 45 4517 Germany 50 3818 France 5 4

World Total 39429 41279Africa Total 7035 6571Africa Contribution, % 18% 16%

Sub-Saharan Africa: Mineral Resources & Political

Instability

Coffee

2006 Coffee Production

60 kilogram bags Kilograms PoundsWorld Total 122,275,000 7,336,500,000 16,140,300,000Africa Total 15,167,000 910,020,000 2,002,044,000Africa Contribution, % 12% 12% 12%

2006 Coffee Production

Tea

Asia is the largest tea-producing region, in Africa, the crop is mostly grown in the East African region with Kenya being the region’s largest tea exporter

Cocoa Production

Major Producing Country

Cocoa Production (3-year average to 1997-98) (tonnes)

Estimated Number of Farmers (1997/98)

Estimated Area Under Cocoa Cultivation (hectares)

Brazil 195000 35000 702000Cameroon 129000 400000 427000Côte d'Ivoire 1140000 900000 2176000Ecuador 80000 55000 263000Ghana 379000 800000 1268000Indonesia 312000 400000 421000Malaysia 95000 60000 209000Nigeria 160000 300000Total 2490000 2950000 5466000Total (Africa) 1808000 2400000 3871000Africa Contribution, % 73% 81% 71%

Shea Butter: The Organic Gem of Africa

Derived from the fire-resistant Shea/Karite tree Tree grows naturally in the

wild in the dry savannah belt of West Africa

1st fruits produced when tree is 20 years old, reaches full production at 45 years and can produce for up to 200 years

It takes ~30 labour intensive hours to produce 1 kg of Shea Butter

About Shea Butter

High in Vitamin A, E & F; essential for healthy skin

Uses: Cooking oil/cocoa butter

replacement in the chocolate industry

In cosmetics – as a moisturizer, for the body, face and hair

Emollient – for dry skin Anti-inflammatory agent

Shea Butter Continued

Sun protectant: provides 0 – 6 SPF depending on the shea butter grade

It has been used to improve the following: Eczema, itchy skin, wrinkles, scars, stretch marks, psoriasis,

poison ivy, acne, joint & muscle pain, insect bites, amongst other conditions

Aloe Vera

Derived from the aloe vera plant.

Probably originated from North Africa & is closely related to Aloes in the same region

Species introduced to Asia & Southern Europe in the 17th century

Aloe Vera …Cont’d

Uses: Cosmestics – manufacture of soaps, lotions, sunscreen,

make-up… Alternative medicine: topical use in wound/burn

healing Insufficient scientific evidence A.Vera sap’s effect in wound

healing

African Wildlife – Some Interesting Facts

Did you know… Victoria Falls (located between Zambia & Zimbabwe) is one of

the 7 natural wonders of the world Four of the five fastest land animals live in Africa - the cheetah

(70 mph), wildebeest, lion, and Thomson's gazelle (all about 50 mph)

The world's biggest frog is found in Cameroon. Named the goliath frog, their body can be one-foot long.

The only place where shools of fresh water sardines are found is in Lake Tanganyika.

The largest seal colony in the southern hemisphere is a Cape Cross in Namibia.

Conclusion

It’s impossible to quantify the vastness of the continent’s wealth/resources

African minerals & resources help to drive the global economy…with many more yet to be discovered

The continent’s economic potential has barely been attained

Considering Africa as an equal in the global financial market will reap great financial rewards for all

Questions