Electra Mining Turnout Improves (allAfrica.com)

| September 2, 2015

The turnout of Electra Mining has dramatically improved with exhibitors coming from countries such as Germany, South Africa, Australia and China. Managing director of Soapbox Communications, Ms Vuyisiwa Mojela, said 127 exhibitors participated this year, from 86 in 2013.

In addition to the exhibition, seminars ran concurrently with the show where investors were briefed about the business climate and opportunities in the mining sector.

Recently, the Rand Merchant Bank (RMB) client relationship manager, Mr Kabo Molimi said there were numerous fund raising opportunities available in Botswana. Mr Molimi said the opportunities existed in financial institutions such as his and a change in the rule of pension funds would provide additional capital.

Pension funds had mostly been invested in offshore markets, with only 30 per cent in the local market but rules had changed and Mr Molimi said this meant billion of Pula would therefore be invested here.

He said there had been improvements in the liquidity adding, investment banks could also sponsor asset-backed commercial paper vehicles as an alternative funding source to traditional bank funding.

The Botswana Stock Exchange (BSE) also offers opportunities to raise funds through IPOs and bond programme while the government has the option of acquiring up to 15 per cent working interest participation in the mine.

“RMB Botswana, a division of FNB Botswana, has a good understanding of the Botswana mining space and, as well as a full spectrum of investment banking products, offers our clients in-depth, local knowledge and entrepreneurial, innovative solutions to all mining requirements,” Molimi said.

“We have been involved in funding and advising some of Botswana’s most prominent mining transactions.”

For his part, Mr Harold Melaetsa, chief minerals officer in the Ministry of Minerals, Energy and Water Resources said despite current challenges, there were still opportunities in the mining industry.

International commodity prices took a knock primarily due to slowed economic growth in China and Mr Melaetsa however remains optimistic they would bounce.

Source : BOPA

Category: Governance

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