Vale, the Brazilian mining multinational corporations, has secured a 900sqkm gold exploration area in southern Ethiopia.

The exploration area is in Konso, between the Oromia and Southern Nations Nationalities and Peoples regional states.

Vale has agreed to conduct geophysical surveys including air-born geophysics to discover primary gold reserves and base metals such as cobalt, copper, silver and zinc, Gebreigzabher Mekonnen, head of mining operations with the Ministry of Mines, said.  

The ministry of Mines is issuing five to seven gold exploration licenses every month according to Gebreigzabher.
The number of international companies applying for industrial mineral exploration licenses is on the rise.

International mining companies that have already started exploring for mineral in Ethiopia include Stratex International, and Alecto Minerals Plc.

In 2010, Ethiopia earned more than 177 million dollars from the export of gold and tantalum.

Vale is the second-largest mining company in the world, and the largest producer of iron ore, pellets, and second largest of nickel.

Vale also produces manganese, ferroalloys, copper, bauxite, potash, kaolin, alumina and aluminium. In the electric energy sector, the company participates in consortia and currently operates nine hydroelectric plants.
Currently the company is listed on stock exchanges of São Paulo, New York, Paris, Hong Kong and Madrid.

Source: The Reporter