UNIT 15: MINING IN THE WORLD
UNIT 15: MINING IN THE WORLD
Key unit competence:
By the end of this unit, I should be able to explain the impact of mining in the sustainable development of different countries in the world
15.1: World distribution of major minerals
Mining refers to all the processes by which minerals are obtained from the earth. Minerals may be in gaseous, liquid or solid form. The processes involved depend upon the mode of occurrence of the mineral. Three major mining areas may be distinguished based on the variety of mineral resources, amount of exploited minerals, and their production. These are:
– North America: From central Alaska and north-central Canada to southern Mexico. The central plains from the Gulf of Mexico to the Laurentian shield contribute more than half of the total value of minerals mined in the USA and about one-fourth that of Canada. Petroleum, natural gas, coal, Sulphur, potash, lead, zinc, and gold are found here.
– Eurasia: From the United Kingdom and the Iberian Peninsula to east central Siberia. West Europe is rich in coal, iron ore, bauxite, salt, potash etc., but it lacks in copper, lead, zinc, tin and alloys etc.
– South-east Asia: It includes India, China, Japan, Malaysia, and Indonesia. This region has sufficient output of earth material to cater to the domestic needs of a large population. India and China have sufficient coal, iron ore and a variety of alloys. Malaysia and Indonesia have surplus tin.
The table below shows the minerals, their uses and where they are found. The countries shown are just some among the many other ones. below there is a table showing major world minerals and their locations along with their major uses.
Application Activity 15.1 1.
1. Identify two areas outside Rwanda where tin and coltan are extracted in large quantities.
2. Apart from Tin and Coltan, state other major world minerals.
3. Draw a sketch of Rwanda and show the major areas where minerals are exploited or extracted.
4. Using the world map locate the major mining areas of the world.
15.2: Methods of mining
Learning Activity 15.2
Read the passage provided below and answer the question that follow:
Mahoro is one of the prosperous investors who is interested in mining. She recently visited the DRC and the research findings included the following:
(i) Some mineral ores are near the surface;
(ii) Some minerals are deeply located below the surface area.
1. Using the past studies, describe the mining method that can be used by Miss Mahoro in the exploitation of the mineral ores near the surface and mineral ores occurring deep into the crust.
2. Identify and explain the effects of different mining methods on the physical environment and suggest the appropriate ways to deal with the negative effects of those mining methods.
When extracting mineral ores from underground/ground deposits, there are various methods that can be used. These methods depend greatly on the mode of occurrence of the mineral ore, of the value of the mineral, and the size of deposit. The most common mining methods include the following:
15.2.1. Opencast or open pit mining
This is the easiest and the cheapest way of mining minerals that occur close to the surface. It simply involves the removal of the overburden that is the earth or other rock bands lying above the mineral-bearing strata. Then, the extraction of the ore in successive layers is done until the mineral content becomes exhausted or inaccessible/ too small for economic mining.
Equipment like caterpillars and excavators are used to create exposure of the mineral ore bearing rocks. In most case when the overlying burden (soils and rocks covering the mineral bearing rocks) is soft, then digging is used. When the overlying burden is hard, explosives are used. The purpose of using explosives is to loosen the rocks for easy removal. Open cast method can be carried out in two ways: Stripping and hill slope boring.
(i) Stripping method: This is the simplest and cheapest method of mining. It is used where minerals are very close to the surface of the earth.
Hill slope boring: This is used in the extraction of minerals such as coal which may outcrop from the hill side. A gently sloping shaft is dug into the hillside to reach the mineral. The augers are used to drill out large pieces of coal and haul them to the surface from where they are taken to the processing plants by trucks.
15.2.2. Underground mining
When the ore lie deep below the surface, the overburden is too thick to be removed by mechanical shovels and underground mining methods have to be used. This mining method involves the creation of network of both vertical and horizontal tunnels. These follow the mineral bearing rocks. The vertical tunnels are called shafts. The mined ores are transported along the shafts using conveyor belts on which lifts, or cages are affixed. The cages move up and down the shaft. The cages also assist the miners to move along the vertical tunnels.
There are circumstances where the mineral ore bearing rocks occur in a horizontal manner. In this case horizontal tunnels are created to have access to the mineral ore extraction. Such tunnels are called Adit or crosscut opening. There must be proper ventilation to allow the miners have clean and safe air, the roofs of the tunnels must be supported with strong pillars and strong wire mesh. This method is used in extraction of mineral ores in countries such as gold mining in South Africa, copper and cobalt in DRC and Zambia.
The following are the different underground mining methods:
(i) Drift or Adit method: This is whereby the minerals are extracted from the sides of a hill or a valley. The mineral bearing veins or seams are found protruding on the side of the valley or hills.
(ii) Shaft method: this is used to extract minerals found in deep or very steep inclined seams. Vertical shafts are sunk underground. From these, horizontal tunnels or galleries are dug to reach the mineral bearing rock.
(iii) Solution method: This is done from the surface of the earth. Shafts are sunk
down into the mineral deposits. Pipes are installed to link the deposits.
(iv) Drilling method: This method is used in the extraction of non-sold minerals
such as oil and natural gas from the ground. It involves the use of equipment known
as the derrick. This is used purposely to create deep holes into the ground up to
the depth of where the mineral to be extracted is situated. This equipment holds a
drill stem on which drilling pumps are attached. After the drill reaches the mineral,
pumps are inserted to transport the oil or gas to the collecting and refinery centers.
15.2.3. Alluvial mining
When minerals occur in alluvial deposits, they are usually recovered by placer mining
methods. This is done by mixing the alluvium with great deal of water and tilting or
rotating the gravels until the lighter particles (sand, mud, dust, stones) are washed
off, leaving behind the heavier ores, e.g. gold, tin, chromium, platinum, which have
a higher specific gravity. The following are the main alluvial mining methods:
(i) Placer mining: This method is used in cases, where the original bearing rock
is broken down by natural processes and it is transported and redeposited by
running water. Placer mining involves excavating alluvial deposits such as sand,
gravel, silt and clay. Screens and sluices are used to separate the minerals from
alluvial materials. This method is used by gold and diamond miners in Ghana,
the Democratic Republic of Congo and Namibia. The gravel bank is loosened
by a high-pressure stream of water distributed through a large nozzle called a
hydraulic giant.
(iii) Dredging: In this method expensive equipment referred to as a dredger is used
to dig out the alluvium. The dredger floats on water and it has a series of traps
through which the alluvial deposit is channelled. The traps usually intercept the
heavier alluvial materials that bear the minerals.
(iv) Hydraulic mining: This is the use of water sprayed from powerful pumps on the
sides of valleys or slopes to bring down the alluvial deposits once the alluvial
deposits, have landed on the floor of the valleys, they are collected.
The factors that influence or affect the mineral exploitation include the following:
– The value of the mineral: Minerals of high value such as diamond are exploited
at any cost. They can be mined without incurring losses.
– Size of deposits: This factor influences the nature and type of equipment to be
used. The bigger the mineral deposit, the wiser and economically rewarding
to invest in its exploitation. Small deposits are uneconomic to exploit because
mining involves huge investments and to reach payback period requires some
years of fully operational mining.
– Grade of the ore: When a given mineral has more ore is worth mining. The
lower the ore, the less the mineral ore is economically viable for exploitation.
This implies that only the minerals with high content of ore are exploited.
– Transport costs: This is a factor that determines whether the mineral is worth
mining. The less bulky mineral ores are, the more it becomes suitable to exploit
it and smelt or process it at hand’s reach.
– Mode of occurrence of minerals: Minerals that are near the surface of the
earth are more profitable to exploit since less expensive mining methods and
equipment are involved. This means that, if the mineral is deep underground,
it becomes costlier to exploit it.
– Labour: Mining requires both skilled and semi-skilled labour. In developed
countries, it is easy to get the required labour unlike in developing countries.
– Capital: The presence of adequate capital will encourage the exploitation of
minerals. This because mining requires heavy equipment that is expensive to
purchase. When the capital is not enough, it means that the mineral deposits
can hardly be mined.
– Markets: Mining is majorly conducted for commercial reasons. Therefore, its
success depends entirely on the presence or availability of enough market. If
there is a high demand for a given mineral, such mineral will be exploited. It
would even influence many investors to put a lot of funds in its exploitation.
– Technology: Mining requires appropriate technology. Countries with advanced
levels of technology exploit their deposits better than developing countries
with low levels of technological advancements.
– Political climate: When the country is secure in terms of security and political
stability, minerals will be exploited. This is so because both foreign and local
investors will be interested in making business ventures in the sector of mining.
– Government policy: Minerals can only be exploited when there are favourable
and friendly governmental policies such as tax holidays, quick and on-line
registration of companies and affordable licensing procedures.
– Power: Mining requires adequate supply of power and energy because of
the heavy equipment used in the exploitation of minerals. Therefore, in areas
where power is unreliable, it is very hard to exploit minerals that are deep
underground.
Application Activity 15.3
1. Account for the low levels of mineral exploitation in the developing world.
2. To what extent is the mode of occurrence of mineral ore responsible for its
exploitation in DRC.
15.4: The effects of mining to the economies of the world
Learning Activity 15.4
Use the Internet, Geography textbooks, previous knowledge acquired in Geography to;
1. Evaluate the effects of mining to the socio-economic development of the
world countries.
2. Analyse the effects of mining operations on the physical environment in
Rwanda.
The mining sector contributes a lot to the socio-economic development of countries.
Some of the contributions are positive while others are negative. Below is a detailed
explanation of the effects of mining to the economies of the world:
15.4.1: Positive effects of mining to the economies of the world
The mining industry has had an influence on the economy in a number of ways,
which may be summarized as follows:
– Employment opportunities: There are thousands of people employed by
the sector of mining either directly or indirectly. These have had their lives
improved because of the salaries they receive. For example, in 2014, 611,000
and 495,568 people were employed directly by the mining sector in USA. And
South Africa respectively.
– Development of transport and communication facilities: Mining has
influenced the establishment of varying forms of transport and communication
infrastructures. There are feeder roads radiating from mining centers to ports
and urban centers. These are also used by other economic sectors such as
trading, fishing, agriculture and Industrialization. For example, the Tazara
railway line was constructed because of copper mining in Zambian copper, St.
Lawrence sea way was developed because of supporting the mining of salt,
iron ore, limestone, lead, Zinc e.tc.
– Source of revenue: The companies involved in the mining sector pay taxes
to the government. They must attain license and such calls for payment of a
given fee. The revenue collected is thereafter used to develop the country.
– Source of foreign exchange: Mining sector contributes a lot to the earning of
foreign currencies of countries. Minerals are exported to other countries and
such enables them to have huge sums of foreign currencies. Such money is
used to purchase what is not locally produced and at the same time fill the
gaps within the national budget. Thus supporting the development and
growth of the countries’ economies.
Urbanization of many areas:The mining operations have encouraged
the growth and development of the urban centers. That is, many people
flock to mining areas, increasing population numbers and attracting other
infrastructural development to the area which eventually, helps develop
towns and cities. The good examples are: Lubumbashi, Belfast, Johannesburg,
and Lagos.
– Growth and development of industries: Mining has led to the development
of large manufacturing industries. There are industries engaged in the smelting
of mineral ores, others in the processing of minerals to both semi-finished and
finished goods. On the other hand, there are other industries that are dealing
with the manufacturing of mining equipment.
– Diversification of the economy: Mining has assisted the countries to have
another alternative economic activity. This implies that the countries are
able not to depend on few economic activities.means that, on top of other
economic sectors such as agriculture, fishing, industrialization and tourism,
the country can utilize the mining sector too. This is helpful to the economic
growth because when one economic sector fails, at least mining or any other
sector can support the economy.
– Improved international relations: Exporting and importing countries always
tend to have a friendly relationship. It means that as one provides mineral ores
the other provides market. This interdependence results in having political
allies that can support one another in times of crisis.
– Improved standards of living: People earn income in the form of wages
and salaries which is used to better and improve their way of living, such as
sleeping well, dressing, good shelter, acquisition of education for their children
and meeting the domestic demands such as food, medical treatment among
others.
– Acquisition of skills: The people employed by the mining sector learn a lot of
skills through the staff development training. These skills acquired can be later
utilized by individuals to start up their own business projects.
– Exploitation of other resources such as generation of HEP: Mining has
influenced the tapping of other resources such as the use of water falls in power
generation like Hydro-electric power. This is so because of the high need for
power in running of the heavy machines. The examples of hydroelectric power
stations set up as a result of mining include Ntaruka, Inga Dam (on Inga falls
in the DRC), Kainji dam on River Niger in Nigeria(which was primary set up to
support oil refinery industries).
– Tourist attraction: The mining operations and installations entice many
people from various parts of the world. These people pay a fee to the concerned
countries and companies in concern. it therefore develops tourism which is
one of the sources of foreign exchange.
15.4.2: Negative effects of mining on the economic development of the
countries of the world
The mining industry has played a positive role in the economic development of
the world. However, it may contribute negatively to the economic development
in several ways. The following are some of the negative effects of mining on the
country’s economic development:
– Mining has become the main cause of pollution in many countries of the
world. This is because of the impurities, fumes from the equipment used and
by the products associated with mining operations. Both air, water, land and
noise pollution are evident. It has lead to serious global warming as a result of
environmental degradation.
– The mining sector has caused the depletion of the resourcest in the areas
where it has taken place for many years. The exhaustion of minerals leaves a
handful of workers unemployed. Such bring a challenge to the government
and increases an overdependence ratio.
– There are sometimes great losses incurred by the mining companies. This is
because some minerals are of low demand. Such reduces the investment base
of the people.
– The prices of minerals are determined by the forces of demand and supply.
Therefore, the fluctuation of prices makes it hard for the economic planners to
have a reliable policy designing system that is workable and functional. Such
leaves a great gap within the economic development. To worsen the situation,
some companies fail because of registering losses.
– Mining has become one of the attractive sectors that employ thousands of
people. This has however, left other economic sectors with reduced productivity,
leaving mining as a chief supporter of the economic development.
– The land suitable for agriculture is wasted or removed when mining is taking
place using Open cast. This has left some areas faced with shortage of food.
Since only depleted scars of land characterized by deep pits and hanging walls
are left behind, such a land can hardly support the growth of crops.
– There is increased environmental degradation caused by the high demand for
timber which is used in the mining sector. At the same time, large chucks of
forested areas are cleared as minerals are being searched. Yet, deforestation
has many ill-effects.
– There is increased government expenditure as it tries to address the challenges
caused by the mining sector, Such as rehabilitating depleted areas and filling
up the deep pits left behind by the mining companies. The money spent would
otherwise be used to develop other sectors that directly benefit the citizens.
– Many homesteads are involuntarily displaced when mining operations are to
take place from a specific area. This breaks the social ties that families share.
Resettling them in other parts of the country too is costly.
– Most of the mining sectors are owned and managed by foreign companies.
These have always repatriated the profits and leaving little for reinvestment in
the country. This implies that, their mother countries’ economies are developed
at the expenses of the countries habiting their companies.
– Urbanization has partly come into existence because of mining operations in
some areas. This has come along with slum developed, organized crime, and
other ill-effects. All these put together affect the development of the economy.
Application Activity 15.4
1. Assess the contribution of mining on the economic development of
Rwanda.
2. Discuss the negative effects of mining to the physical environment of Rwanda.
15.5. Case studies of mining in selected countries
Learning Activity 15.5
Using the geographical documents, text books and internet research on the
following:
1. Describe the mining activities taking place in USA, RUSSIA and Middle
East.
2. Examine the factors that have favoured the development and growth of
mining sector in China and Nigeria.
3. Assess the contribution of mining sector to the socio-economic
development of South Africa and Zambia
15.5.1: Mining in the United States of America
The USA has for many years been the world’s leading mining nation. Its growth
and development trace its beginning even before the colonial era. The country is
naturally gifted with almost all types of minerals. These natural resources are fully
utilized in a sustainable manner; such has enabled the USA to develop her economy.
This explains why it has managed to have a leading highly developed economy in
the world. The major minerals exploited in USA include Coal, Lead, Uranium, Mica,
Sulphur, Copper, Silver, Gold, Iron ore, Zinc, Bauxite, among others. However, America
has the world’s largest coal reserve (25%).
It should be noted that, not all the minerals are in abundance in USA, some are also
imported to add on what is locally exploited; these include the following: tungsten,
oil, diamond, zinc, bauxite, copper, Aluminium and uranium. These imported
minerals are a result of high demand for thembecause of its increased industrial
growth and development.
The major mining centres of the USA include Mesabi Mountain Ranges of the Great
Lakes Region (the chief mining centre of the USA), New Mexico, Montana, Arkansas,
Wyoming, Utah, Appalachian Mountain Ranges of the Great Lakes region, Colorado,
Louisiana, Mississippi, California, Texas and Oklahoma.
Factors influencing the development of mining in the USA
– The presence of a wide variety of minerals such as zinc, lead, iron ore make
the region ideal for mining. These have enabled the mining companies to
have what to exploit in large quantities and at the same time meeting the
international demand for a variety of minerals.
– Adequate power supply from large sources of coal, natural gas and hydroelectric
power stations also facilitate the mining industry. This is a favourable factor
because mining is in most cases dependent on power. Power is used in the
running of machines in extraction and smelting of the ore.
– The presence of adequate capital from foreign earnings ( exports and other
financial institutions) favour the mining industry. This has contributed
abundantly to the mining sector in terms of being enabled to hire the required
labour as well as the purchasing of the modern equipment.
– The presence of skilled labour since the region has immigrants from France,
Germany and other regions where mining was practiced before. The human
labour is required in mining operations. Having a steady supply of workers
assists the mining companies to carry out their operations at a cheaper cost.
– The availability of well-developed transport networks like roads and railways,
especially the St. Lawrence and the Great Lakes waterways. The mineral ore are
heavy and need to be transported to the market centres. This has also helped
in having access to the required mining in-puts from overseas.
– The presence of a ready market for the minerals both in the country and
outside. This is due to the prominent level of industrialization associated with
the country. Most of the industries are engaged in manufacturing. Therefore,
whatever is extracted is sold hence providing reinvestment opportunities to
the mining companies.
– The region is technologically advanced, making the mining operations easy to
handle. This has assisted the mining companies to have the ability of exploiting
the minerals whose mode of occurrence is deep. The technology available
eases the exploration of minerals and the processing operations.
– The political stability of the region plays a crucial role in the development of
the mining industry in the region. This is a factor that has earned international
investors who have had a convincing interest in mining operations.
15.5.2: Mining in Russia
The mining industry in Russia is among the highly developed sectors in the country
and the world at large. Russia is known for having almost all known minerals
resources in the world. Russia has the world’s largest proven iron ore reserves and
the world’s second largest coal reserves (20%). The mining industry of Russia is one
of the leading mining industries in the world. Russia having been naturally endowed
with a wide range of mineral resources, the country put them to better use and
became the world’s leading mineral resources producer. It contributes up 14% of the
world’s total mineral extraction. Russia possesses the following minerals reserve: Iron
ore, Manganese, Chromium, Nickel, Platinum, Titanium, Copper, Tin, Lead, Tungsten,
Diamonds, Gold, Oil, Natural gas, Coal.
The production of metals in Russia form 14% of its total exports. This is the second
foreign exchange earner, after Oil and natural gas industry. The country’s metal
exports are dominated by raw metals and aluminum. Even though Russia uses
metals in her industries, most of the metal production is exported. The chief metal
producing company is Bellwether private company.
Russia is known for being the largest world producer of Iron Ore, the second leading
producer of recoverable coal reserves. The country takes the third position of the
world’s producer of black coal.
There are four major mining regions in Russia:
– South European region which is known for coal mining and oil drilling.
– West Siberia also known for coal and oil
– Urals region which is important in copper, manganese, platinum and tungsten
mining.
– Murmansk region which is known for the exploitation of copper and lead.
Factors that favour mining in Russia
– The presence of a wide variety of mineral reserves in the country. The country is
blessed naturally with a variety of minerals that have enabled a steady supply
of minerals on the international market. These minerals include among others
Oil, coal, copper, iron ore, to mention but a few.
– The availability of capital from the state and from the international mining
companies that exploit minerals in the area. The mining companies involved
in the Russian mining sector have all the necessary and require capital. This
explains why they are able to use modern equipment as well as hiring experts.
– Supportive government policies that help stimulate the sector. These have
favoured the establishment of mining companies since they are offered tax
holidays and subsidization in times of economic hardships.
– The availability of both skilled and unskilled labour from the locals and
immigrants in the country. The mining sector requires labour force. Having it
at a hand’s reach provides the opportune moments of prosperity.
– Important levels of technology that is required in the mining sector. The
Russian mining companies have managed to exploit the deeply concealed
minerals and drilling of oil from off-shore oil deposits. This is all attributed to
the availability of technology.
– Adequate power supply that is required to power the sector. The nuclear
power production as well as other forms of power and energy in large levels,
have enabled the mining companies to operate at all time. This makes them
meet the high demands for the needed minerals.
– The presence of a well-developed transport and communications system
needed for the transportation of minerals and their products. Russia is one
of the countries of the world with well-developed means of transport. The
mining sector has benefitted from this, by transporting both the in-puts and
out-puts at a cheap cost hence assuring high economic returns.
The challenges faced by the mining sector in Russia
– Depletion of mineral reserves. The prolonged period of exploiting minerals
in Russia has left most of the mineral ore deposits exhausted. The exposed
coalfields are now depleted, and the country is forced to engage in the underground mining. This has come along with increased costs of mining.
– There is a low discovery rate of new reserves. This has put the mining sector
of Russia at a significant risk of having some minerals being expensive to get.
– The mining sector of Russia is still devoted to the traditional machinery used in
the reasonable years gone by. This has made it hard for some of the companies
not to access the concealed mineral ore deposits.
– The death toll in the mining sites of Russia is very high. This is because the soils
of Russia in places where mining is conducted are less consolidated such as in
coalfields. The underground tunnels collapse easily.
– There is stiff competition from other countries engaged in mining sector. These
have to some extent out competed Russia in its selling in the international
market.
– The mining sector is challenged with prominent levels of pollution of all kinds.
The dusty nature of coal mining areas proves how environmentally the country
is challenged. The piles of metals leach and chemicals are transported by rain
water (Run-off), thus polluting both land and water resources.
– In many places Mining has led to the displacement of people from their
homes. In areas where mineral resources are found, in most cases people are
displaced and resettled in other places. This is costly and socially challenging.
– Mining has left scars of exhausted areas that are completely of less or
no importance in terms of production. Such depleted areas are usually
characterized by deep pits, open lands, piles of soils among many others.
15.5.3: Mining in China
China is one the countries blessed with a variety of mineral resources. In terms of
scale and magnitude, China’s mining industry ranks third in the world. Chinese
mining sector is greatly supported by high levels of technology and supportive
government policies. The country has several minerals such as: gold, cobalt, iron and
steel, nickel, vanadium, molybdenum and manganese. China is the second largest
world producer of Gold after South Africa and the second in copper production after
Chile. It also takes the firth world’s position as a producer of Iron ore. There are several
mining centers in china, but the most dominant and major ones are the following:
The oil producing countries in this region include Saudi Arabia, Iran, Iraq, Kuwait and
the United Arab Emirates . They are the major oil producing countries. Jordan has
established itself as a world leader in phosphates and potash mining, holding four
per cent of the global reserves.
Factors which have favoured oil production in the middle East
There are several factors that have supported mining in the middle East. These
include:
– The presence of massive quantities of oil and natural gas. The middle East
countries such as Saudi Arabia have contributed a lot to the oil exports because
of the vastness nature of her oil deposits.
– The region has managed to develop her mining because there is availability
of capital. This is provided by the companies that are associated with mining
especially Shell, Total, Agip among the others. Such has supported the use of
hired labour and modern technology.
– The availability of advanced technology. The oil drilling companies have come
along with the modern technology that has made it possible to tap the oil
and natural gas from the deepest level underground. The major equipment
includes the remote sensing (Sensors) that are used to determine the location
and the mode of occurrence of the oil deposits.
– The existence of generally flat landscape. This has favoured the establishment
of the required infrastructure such as roads and pipelines that are used in the
transportation of oil and the in-puts that are needed.
– Availability of large market for oil and petroleum products. There is a wide
range of market from outside the middle East region. This has enabled the
companies to sell what they produce.
– The Middle East region is associated with harsh climatic conditions that hardly
support other forms of economic activities such as agriculture. This influences
the governments to resort entirely to the drilling of oil.
Problems facing the oil industry in the Middle East
– Shortage of labour due to low population in countries such as Kuwait. This has
resulted in the costs of operations being high, hence registering relatively low
economic returns that it would be.
– The presence of alternative sources of energy like solar and nuclear energy
that compete with petroleum. This therefore has reduced the market for the
oil and oil products. This explains why some companies are now operating at
a low rate.
– The fluctuation of oil prices in the international market. There is too much crude
oil that is legally exported to other countries of the world. This influences the
forces of demand and supplies which results in unstable prices. It makes the
investors lose a lot.
– Conflicts between countries that often result in wars. This has become
a common characteristic associated with countries that produce Oil or
petroleum.It has made most of the foreign companies to relocated elsewhere
not in the middle East. Also, most of the infrastructures are destroyed by the
wars.
– Profit repatriation by international companies. The oil drilling is in the hands
of foreign companies. These reinvest the profits gained from mining in
their mother countries, thus leaving the local countries less developed and
benefiting relatively at lower levels.
– Lack of domestic markets in the region due to limited population. This leads to
overdependence on the foreign markets. This is because most of the middle
East countries are located in desert regions that discourage the settlement.
– Prominent levels of air, water and noise pollution. The drilling of petroleum
or oil is associated with both air, land and water pollution. This has made the
areas where it is carried out to have problems of environmental degradation.
– Stiff competition between the Middle East and other oil producing countries
like Nigeria, Algeria, and Russia. This has made the oil and oil products from
the Middle East lose their market. Such a situation also makes the engaged
companies get out of mining business.
15.5.5: Mining in Nigeria
Nigeria is a country in West Africa which has various deposits of minerals and large oil
deposits. It is the biggest producer of oil in Africa. The country is also endowed with
other minerals in addition to oil which is its major foreign exchange earner. These
minerals include tin, coal, iron ore and columbite. There are also other minerals that
occur in small quantities. Nigeria’s economy is greatly supported by the economic
returns from the exports of oil. There are several oilfields both in the interior and
along the coastal areas of the country. The mining industry of Nigeria has become
a centre of interest for both local and foreign companies. These companies include
Shell-BP, Mobil, Agip, SAFRAP, Texaco and Gulf.
Factors favouring the development of the mining industry in Nigeria
– There are several factors that have played a key role in the development of the
mining industry of Nigeria. They include the following:
– The mineral resources of Nigeria are of high quality. The presence of large oil
deposits and reserves in areas such as the Niger delta and iron ore in the Jos
Plateau.
– The availability of both skilled and unskilled labour which is provided by the
Nigerians and immigrants from other neighbouring countries.
– The availability of adequate capital provided by the rich foreign companies
such as Shell-Bp and Agip. The government of Nigeria has also invested a lot
of capitals in the sector and supports investors through the various national
agencies.
– The high population of Nigeria has created a large market for the products of
the mining industry.
– The high level of Industrialisation that helps in the value addition of the mining
products.
– Nigeria is strategically positioned at a point that enables the country to easily
access the Western and European markets.
– The presence of well-developed forms of transport such as railways, road and
pipe lines.
– The presence of cheap and affordable power that supports the mining
operations.
– The presence of foreign companies with advanced technology that is important
in the extraction of minerals.
15.5.6: Mining in South Africa
Mining in South Africa has been the main driving force behind the history and
development of Africa’s most advanced and richest economy, after Nigeria. Large
scale and profitable mining started with the discovery of a diamond on the banks
of the Orange River in 1867 by Erasmus Jacobs and the subsequent discovery and
exploitation of the Kimberley pipes a few years later. This was followed by the
discovery of Gold especially in the Witwatersrand Gold in 1886 and the subsequent
rapid development of the gold field there.
Diamond and gold production may now be well down from their peaks, though
South Africa is still number 5 in gold, it remains a cornucopia of mineral riches. It is the
world’s largest producer of chrome, manganese, platinum, vanadium, vermiculite. It
is the second largest producer of ilmenite, palladium, rutile, and zirconium. It is also
the world’s third largest coal exporter. South Africa is also a huge producer of iron
ore; in 2012, it overtook India to become the world third biggest iron ore supplier to
China, who are the world’s largest consumers of iron ore.
The country is endowed with a variety of natural resources. It has large mineral
reserves.
It is the world’s largest producer of manganese ore, platinum group metals and gold.
Other minerals found in South Africa include; diamond, coal, copper, uranium, iron
ore, asbestos and silver.
15.4.7. Mining in Zambia
The production of copper in Zambia is a dominant economic activity that is
associated with the mining industry. Zambia is the 7th world’s largest producer
of copper. Copper is mined in the Zambian copper belt that is made up of various
mining centres that include; Bwana Mkubwa, Chibuluma, Chililabombwe, Nchanga,
Baluba, Ndola, Chambishi, Mufulira and Chingola.
Factors that favour the development of mining in Zambia
There are several factors that have favoured the development of the mining industry
in Zambia. They include the following.
– Zambia is endowed with large deposits of copper. This is supplemented by
other mineral ores. This gives the allowance to the mining companies to serve
the international market in relation to copper and other minerals. This again
makes mining to operate throughout the year.
– There is a steady supply of labour that is provided by the immigrants from
the neighbouring countries. The Zambian mining sector is supported by
immigrates from southern Tanzania, Malawi, Zimbabwe and South Africa.
These come with all the needed skills that have enabled the sector to flourish.
– The presence of hydro-electric power from the Kariba dam and other power
stations that support the various operations of mining sector. The mining
sector depends on power for smelting copper and extracting it. Therefore,
having it in enormous quantities is an advantage.
– The high demand of copper in the international market. The mining sector of
Zambia has in recent years benefitted from the increasing usage of copper in
manufacturing various products. This has enlarged the market hence enabling
the investors to gain more and more. Such has given them the capacity of
modernizing the mining sector.
– The presence of foreign investors who put in huge sums of capital and provided
skilled labour. They have developed the mining sector since they know what is
needed to be done. This again has supported the transformation of the mining
sector into a highly mechanized one.
– There is a wide network of roads and railway lines in Zambia. The most notable
one is the Tanzara railway that transports both the mineral ore and the mining
equipment needed in the mining operations.
– Favourable government policies such as the privatization policy that has
attracted local, regional and international investors in the sector. This has
supported the mining sector because of the advantages associated with the
policy. Furthermore, the investors are given tax holidays and where need be,
given soft loans by the government.
Application Activity 15.5
1. For either USA or China, account for the successful mining sector.
2. Note down the lessons you have learnt from the study on mining in USA and
show how you can use them to improve the mining sector in your country.