1
FRANCISTOWN INVESTMENT
FORUM 2014 – MINING SUPPLIES
AND LOGISTICS HUB
2015/04/13
Charles Siwawa CEO – BCM 20th AUGUST 2014
AGENDA
2

Introduction

Supplies Hub

Logistics Hub

Conclusion
2015/04/13
INTRODUCTION
3



Botswana is endowed with significant mineral
resources
The value of these resources is estimated at trillions
of dollars in the ground
There remains scope to add value through efficient
supply of goods and services to the industry
2015/04/13
Exploration
Prefeasibility
Feasibility &
BFS
Project
Financing
Development
KS
E
4
Production
Closure
Jwaneng
Tsabon
g
Ghaghoo
Orapa
Damtshaa
Jindal
Tlou
Energy
BK11
Karowe
BK16
De
Beers
Walkabout
Resources
Nata
Energy
Letlhakane
MCM
Shumba
Minergy
Anglo
Coal
Asenjo
Rainbow
Gas and
Coal
D
Diamonds
African
Energy
Botash
Hodges
Resources
Lerala
Coal
Soda Ash
& Salt
CBM
Uranium
2015/04/13
4
Exploration
Prefeasibility
Feasibility &
BFS
Project
Financing
Production
Development
Tsodilo
Resources
KS
E
5
Closure
Jwaneng
Tsabon
g
Orapa
Ghaghoo
BotAsh
DML
BK16
BK11
Karowe
African Copper
Jindal
Tlou
Energy
African Energy
Orapa
Hana
De
Beers
B/K11
Lerala
Walkabout
Resources
Nata
Energy
BCL
Morupule
Letlhakane
MCM
Ghaghoo
Shumba
Mmamabula
Minergy
Anglo
Coal
Damtshaa
Tati Nickel
Galane Gold
Aviva
Asenjo
Rainbow
Gas and
Coal
D
Diamonds
African
Energy
Prospecting site
Jwaneng
Botash
Producing Mine
Hodges
Resources
Lerala
Coal
Soda Ash
& Salt
CBM
Uranium
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5
6
2015/04/13
SUPPLIES HUB
7




All mines require supplies for efficient and effective
production
These have to be delivered well in time to avoid loss of
production
Spare parts required are from outside the country and
at times not synchronised
Recent study of 13 items consumed by 5 mines were in
excess of P1.1bn worth of goods annually
2015/04/13
CONCEPT
8




Hub to consolidate and distribute consumables, capital
equipment and spares
Hub to operate as a wholesaler of goods with shared
logistics and IT services
All the large mining houses around the world operate
along similar principles
Hence extend the same principles to all mining
companies in Botswana
2015/04/13
THE HUB
9
ELECTRICAL /
ELECTRONIC
SUPPLIER
MECHANICAL
SUPPLIER
SERVICES
SUPPLIER
MINE 1
HUB
MINE 2
MINE 3
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BENEFITS
10

Improved efficiency leading to higher productivity

Economies of scale with downward pressure on costs

Creation of small and medium enterprises to service the
industry

Employment generation

Contribution to the GDP of the country
2015/04/13
LOGISTICS HUB
11



The mines products are of different characteristics
requiring different modes of transport
The logistics feasible therefore relate more to
inward than market orientated
SME opportunities exist to carry out logistics
2015/04/13
CONCLUSION
12




There are abundant mineral ore resources / reserves in Botswana
There is a wide scope for establishment of a supplies and logistics Hub to
serve the mining industry. This can be done by the business community
The centre of gravity for the mining industry in Botswana is more towards
the north. Francistown therefore lends itself to establishing such a Hub
Minerals will continue to play a significant role in driving the economy of
Botswana in the foreseeable future
2015/04/13
13
THANK YOU FOR YOUR TIME
Contact:
Charles Siwawa
Chief Executive Officer
Botswana Chamber of Mines
Tel: +267 3914686
Cell: +267 71315408
Fax: +267 3914684
eMail: bcm@info.bw
Website: www.bcm.org.bw
2015/04/13