Iron production in sudan Essay Example | Topics and Well Written Essays - 3000 words

Iron production in sudan - Essay Example Providing a great opportunity for investors. According to a recent KPMG report, the continuing global urbanization is set to drive the demand of steel, effectively doubling it by 2050 and at the current level of demand the iron ore reserves in Brazil’s Minas Gerias and Australia’s Pilbara will generally be exhausted by then. It is predicted that as the world gradually runs out of hematite deposits, there will spring the need for new sources of iron. One of countries that is seen to offer an amazing opportunity for the iron ore industry. Sudan’s full iron ore production potential has never been fully exploited nor has it been completely analyzed but its location next to Congo and the iron ore reserves that are already being mined have shown promising results. By investing in Sudan’s iron ore industry, investors from the GCC stand to reap immense benefits from the virgin iron ore industry in the country Resources In a study conducted by Waldelnour, et al. (2 010), both the Western and Eastern parts of Khartoum have relatively rich iron ore deposits. The type of iron ore deposits that is seen to be available in these areas is generally found in the Mesozoic and especially so in the Upper Cretaceous. This iron ore is generally characterized by having a relatively high tonnage, in addition to its low-grade quality. However it is quite possible that if the country’s investment policy were to be reviewed so as to essentially favor investment in the iron and steel industry, this could have the potential resultant effect of entirely revolutionizing the steel industry in the country especially so in light of the fact that these deposits tend to cover vast expanses of land (Waldelnour, et al., 2010, pg. 2). Sudan’s rich mineral resources: Sudan’s rich mineral that could possibly be exploited by investors includes: According to Mann & Mendenhall, (1964), the Geological Department in Sudan published the Fodikwan Iron Deposits. Sudan’s Fodikwan group of deposits are found to be mainly located at approximately 21?-45’ N. latitude and between 36 ? -45’ E. Longitude this region is found to be in the areas around the north Red Sea Hills areas of the country, at an approximate distance of about nine miles inland from its Port Sudan-Halaiba Road. This is an estimated distance of about 167 miles from the country’s Port Sudan. The nearest harbor that can service any transportation of these iron ore resources is found to be at Marob, which is at a distance of approximately 12 miles from these deposits. It would be necessary for the country to develop a Jetty to support the loading of ships with the processed iron, steel or iron ore that has been mined from this region. The report also indicated that the iron deposits in the country can essentially be divided into the two categories of solid ore which is seen to constitute about 147,000 metric tons of relatively accessible ore containing about 60%Fe, while the mixed ore deposits were estimated to stand at 95,000 tons with an