Ambatovy mine
| Location | |
|---|---|
  Ambatovy | |
| Location | Moramanga |
| Regions | Atsinanana and Alaotra Mangoro |
| Country | Madagascar |
| Coordinates | 18°50′42″S 48°18′25″E / 18.845°S 48.307°E |
| Production | |
| Products | Nickel Cobalt Ammonium sulfate |
| Type | surface |
| History | |
| Discovered | 1960 |
| Opened | 2012 |
| Owner | |
| Company | Sumitomo Corporation (54.18%) Korea Mine Rehabilitation and Mineral Resources Corporation {KOMIR) (45.82%)[1] |
| Website | ambatovy |
| Year of acquisition | 2015 |
The Ambatovy mine is a large open cut lateritic nickel-cobalt mine located in Madagascar, off the east coast of Africa. The largest mine in the country, it is a major contributor to the economy of Madagascar.
Ownership and operations[edit]
Several exploration permits for the site were acquired by Phelps Dodge in 1995. In 2004 and 2005 Phelps Dodge sold its interest in the project to Dynatec Mining Limited, a Canadian company.[2] Dynatec began mine development in 2007, backed by international development groups including the European Investment Bank.[3][4] Sherritt International acquired Dynatec and later transferred majority control of the mine in a debt for equity swap to the Japanese Sumitomo Corporation.[4] The rest of equity in the mine is held by the Korean State-owned Korea Mine Rehabilitation and Mineral Resources Corporation (KOMIR).[1][5]
Until 2020, when production was suspended due to the COVID-19 pandemic in Madagascar, the mine was producing 4,000 tonnes of refined cobalt and almost 40,000 tonnes of refined nickel every year.[6][4] Operations resumed in March 2021.[7] After running at a loss from 2014 to 2020, the mine became profitable in 2021, especially after a large increase in nickel prices due to the Russian invasion of Ukraine.
Economic impact[edit]
During construction, Ambatovy accounted for 35% of the total foreign direct investment in the country, between 2006 and 2012.[8] Ambatovy accounts for 32% of Madagascar’s foreign exchange earnings.[9] In 2022 the company paid 44 million US$ (198 Billion ariary) in mining taxes & fees to the Malagasy government. Furthermore US$340 million were spent with local purchases.[10] 40,000 tonnes of nickel and 3600 tons of cobalt were produced during the same year.
Social and environmental impacts[edit]
Ambatovy is the largest investment in Madagascar's history.[11] The mine employs 10,000 people, of which 8,000 are Malagasy, and provides 27 per cent of the country's tax revenues.[4]
The mine has been criticised for its local environmental impacts.[3] The open pit mine displaced 1,600 hectares (4,000 acres) of rainforest and is connected by a 200 km long slurry pipeline to the processing plant at Toamasina, which has a 750-hectare (1,900-acre) area tailings dam constructed to contain and store waste (tailings) from plant operations. The mine is among the first to fully offset the loss of forest from mining operations.[12][13]
References[edit]
- ^ a b "Sustainability report 2022" (PDF). Antananarivo, Madagascar: Ambatovy. 2023. p. 16. Retrieved 8 May 2024.
- ^ "Nickel exploration – Dynatec to acquire all of Ambatovy". Canadian Mining Journal. 2005-02-02. Retrieved 2021-09-09.
- ^ a b Randrianarisoa, Riana Raymonde; Soustras, Laurence (23 November 2017). "The Ambatovy Nickel mine in Madagascar has caused numerous environmental problems". The Ecologist. Retrieved 8 June 2021.
- ^ a b c d Mandimbisoa, R. (25 February 2021). "Mines: Ambatovy reprend sa production en mars". Madagascar Tribune (in French). Retrieved 8 June 2021.
- ^ "History of the project". Antananarivo, Madagascar: Ambatovy. Retrieved 8 May 2024.
- ^ Dykes, Jacob (13 August 2020). "No net loss: can development projects offset damage to biodiversity by boosting nature elsewhere". Geographical Magazine. Retrieved 8 June 2021.
- ^ "Sumitomo says Ambatovy nickel project in Madagascar resumed March 23". MINING.COM. 2021-03-29. Retrieved 2022-07-16.
- ^ Karlik, Nick (2023). "Evaluating the On-Site Impacts of the Ambatovy Project through the Lens of Environmental Justice". Independent Study Project (ISP) Collection. Retrieved 8 May 2024.
- ^ "Madagascar: Ambatovy mining project". Abidjan, Côte d'Ivoire: African Development Bank. Retrieved 8 May 2024.
- ^ Randriamamonjy, Itamara (11 July 2023). "Redevances Minieres - Ambatovy verse 198 milliards ariares". L'Express de Madagascar (in French). Antananarivo, Madagascar. Retrieved 8 May 2024.
- ^ Widman, Marit (2014-01-02). "Land Tenure Insecurity and Formalizing Land Rights in Madagascar: A Gender Perspective on the Certification Program". Feminist Economics. 20 (1): 130–154. doi:10.1080/13545701.2013.873136.
- ^ Greenfield, Patrick (2022-03-09). "Is a Madagascan mine the first to offset its destruction of rainforest?". the Guardian. Retrieved 2022-07-16.
- ^ Devenish, Katie; Desbureaux, Sébastien; Willcock, Simon; Jones, Julia P. G. (2022-03-03). "On track to achieve no net loss of forest at Madagascar's biggest mine". Nature Sustainability. 5 (6). Springer Science and Business Media LLC: 498–508. doi:10.1038/s41893-022-00850-7. ISSN 2398-9629.