MAJOR MINING COMPANIES APPEAR TO BE SLOWING THE PACE OF THEIR MINING PROJECTS AND VENTURES IN AFRICA AND IN SOME CASES, EVEN WITHDRAWING THEM. Anglo American has reportedly abandoned its plan to buy a metallurgical coal project in Mozambique’s Zambezi Valley and BHP Billiton has halted its iron ore and manganese operations in Gabon. Vale has alluded that it may be abandoning its iron ore operations in Guinea. It appears that personnel changes to senior management of Rio Tinto and Vale are likely to lead to a more risk-averse and conservative approach.

PIRACY is an alarming occurrence on the southern EAST AFRICAN COAST. A security vessel based in MTWARA PORT, SOUTHERN TANZANIA apprehended a gang of pirates in 2012. A number of gas companies such as British Gas and Maurel & Prom have drilling operations in such area.

There is considerable confusion over the validity of certain announced CEMENT PLANTS most notably in MOZAMBIQUE AND ANGOLA. Some investors periodically announce the imminent construction of new plants in order to extend the concessions and trading rights received from the relevant government authorities. Angola has begun to clamp down on this by annulling concessions and licenses if not utilised.