Horomela has a strategic focus in the base metals sector. It is particularly bullish in the zinc, lead and copper commodity sectors. Horomela aims to first exploit the remaining base metal deposits in South Africa and then proceed to look for opportunities around the African continent.
WHY BASE METALS?
Base metals and ferrous metals are generally at the centre of any massive economic development in any country. In the early 19th Century the industrial revolution was driven by the consumption of the ferrous and non-ferrous metals. In the present times the advents of economic blocks like the BRICS that have an insatiable appetite for development there is likely to be a steady increase in demand for the base metals.
The development of BRICs is leading to such demand for materials that by 2050, consumption of these materials will be 5 times what it is today. This will make it impossible to meet the demand solely with existing resource reserves. Furthermore, it is predicted that the consumption of some metals will even exceed their reserve base, so demand will rise to reconsider the use of these resources, and develop revolutionary new means of acquiring and recycling resources. Horomela Investments would like to partake in developing base metal projects to help fill up the anticipated supply gap.
Base Metals in South Africa
South Africa hosts rich resources of non-ferrous minerals; some of deposits are rated amongst the largest in the world. The country is the second biggest producer of titanium and zircon minerals in the world and is ranked fourth and second, respectively, in terms of global reserves of these minerals. South Africa is also the producer of copper, cobalt, nickel, lead, zinc and antimony. Titanium and zircon resources are found in heavy mineral sands in Kwa-Zulu Natal, Eastern Cape and Western Cape. Copper is mainly mined in the Phalaborwa Complex in the Limpopo Province, with zirconium and nickel being produced as by-product. Lead and zinc deposits associated with copper are mined near Aggeneys, Northern Cape. Nickel deposits are mined in the Uitkomst Complex near Badplaas in the Mpumalanga Province. Antimony deposits are located in the Limpopo Province. Cobalt, copper and nickel base metals are also produced as by-products of platinum mining in the Bushveld Complex.
South Africa accounts for about 3.2% of the world’s lead reserves estimated at 63 Mt. Council for Geoscience have more than 400 entries of lead occurrences in the database, however there are four major stratiform exhalative sediment-hosted massive sulphide deposits centred around the town of Aggeneys and these are Black Mountain/Deeps, Broken Hill, Big Syncline and Gamsberg. The Horomela prospects fall in the vicinity of these known deposits.
South Africa is estimated to have about 2% of world zinc reserves and it accounts for about 1% of world production.