Ethiopia will begin producing metal for the first time after two years, its Ministry of Mines, Petroleum and Natural Gas has said.
Five companies are on the pipeline to engage in exploration, mining and processing of iron ore in Oromia and Amhara regional states, said Tedros Gebregziabher, State Minister of Mines, Petroleum and Natural Gas.
Indian based MSP company has concluded feasibility study and is close to securing a license which allows it to produce 155,000 tonnes of magnesite and ilmenite per annum in west Wellega zone, Oromia regional state, he said.
The area is estimated to have 6.3 million metric tonnes of magnesite and ilmenite minerals, according to the State Minister.
The company is expected to create jobs for 300 people once it begins operation within two years after licensing, he said.
Similarly, four companies, including two local firms, are on exploration process to engage in iron ore mining in Wag Himra zone, Amahra regional state, he said.
Ethiopia is believed to have 70 million tonnes of iron ore deposit, it was noted.