Marula Mining CEO on Tanzania’s copper market outlook

Africa-focused mining investment company Marula Mining made significant strides in the copper market last year by securing a 49% commercial interest in the Kinusi copper mining project in Tanzania. Marula Mining CEO, Jason Brewer, recently sat down with CNBC Africa to discuss the company's investment plans and the outlook for the copper market in Africa. Brewer highlighted the allure of Tanzania as a mining destination, citing political stability and attractive project advancement opportunities. The Kinusi project in Dadaima, Tanzania boasts very high-grade copper resources, with some ore containing up to 31% copper, a rarity in the global market. Marula Mining has already secured 10 mining licenses in Tanzania, setting the stage for accelerated development. In terms of production capacity, Brewer outlined plans to initially produce a copper concentrate of 25 to 30 percent, with an estimated output of three to five thousand tons per month. The company anticipates an investment of five to ten million dollars for the initial phase, with potential for further expansion depending on project results. The surge in demand for copper, particularly in sectors like electric vehicles and green technologies, presents a promising opportunity for Marula Mining. Brewer emphasized the underinvestment in copper mining globally, leading to a supply deficit that is expected to widen in the coming years. The company has already attracted interest from global commodity trading groups and Chinese investors, underscoring the strong market demand. Looking ahead, Brewer underscored the potential for African countries like Tanzania, the Democratic Republic of Congo (DRC), and South Africa to capitalize on the growing copper market. With the deficit projected to expand by 2025, there is a sense of urgency to invest in new mining projects to meet the escalating demand. Moreover, Brewer touched on the evolving regulatory landscape in African mining jurisdictions, highlighting the push for greater local participation and utilization of domestic services. Governments are keen on maximizing the economic benefits of mining investments by promoting skills transfer, technology development, and local content utilization. In conclusion, Brewer emphasized the importance of sustainable mining practices and partnerships with local stakeholders to ensure long-term success in the industry. Marula Mining's strategic approach to investing in high-grade copper projects in Africa positions the company well to meet the growing demand for this essential metal in the global market.