The Rising Africa - The Extraction Edition

Rising AfRicAMarch 2014, Issue 6

the

the extraction editionChristian Paradis on Canada’s competitive advantage

SPECIAL SECTION

South AfricaMining Indaba host country is helping to shape the African mining vision

+

Jeancharest

Benoit La saLLened GoodMan

ccafrIca workIng wIth you sInce 2002

Green solutions to Africa’s energy deficit

Windiga Energy

&

Mining Indaba 2014

Team Canada on the world stage

w w w.c c a f r i c a .c a The rising africa | 3

ContentsMarch 2014

Rising AfRicAthe

18

10 The Power to Drive change Windiga Energy is tackling the African energy deficit with green technology By Robert Nettleton

12 canada’s Mining industry at a glanceAn overview of NRCan’s Mining Sector Performance Report 1998–2012 By Robert Nettleton

18 OVerView: Mining indaba 2014A look back at the third largest mining conference in the worldBy Robert Nettleton

42 create. enhance. sustain.AECOM’s ethical business model is making Africa a better placeBy Elizabeth Bannerman

features

city hall, cape Town

4 | The rising africa M a r c h 2 0 1 4

28

on the cover

Q&as

14 expertise: a canadian Mining export Glenn Nolan on our global status as mining leadersBy The Rising Africa

16 setting higher standardsPierre Gratton on committing to corporate social responsibilityBy The Rising Africa

20 “now is a good Time to Be here”Jean Charest on Africa as the next great hotbed for global investmentBy The Rising Africa

22 a Bridge for canadian BusinessBenoit La Salle on CCAfrica’s role in building relationships in AfricaBy The Rising Africa

24 seizing the OpportunitiesChristian Paradis and Benoit La Salle discuss the Canada-Africa connectionBy The Rising Africa

34 canada’s Team spiritPierre Boivin on the camaraderie of Canadian investors on the continentBy The Rising Africa

south africa speciaL

28 spotlight on south africaBy Robert Nettleton

30 Pursuing the african mining visionInterview with Mosa Mabuza, Deputy Director General, Mineral Policy and Promotion, South AfricaBy The Rising Africa

in every issue

6 Editor’s Letter45 Members List46 Board of Directors

RISING AFRICAMARCH 2014, ISSUE 6

THE

THE EXTRACTION EDITIONChristian Paradis on Canada’s competitive advantage

SPECIAL SECTION

South AfricaMining Indaba host country is helping to shape the African mining vision

+

JEANCHAREST

BENOIT LA SALLENED GOODMAN

CCAFRICA WORKING WITH YOU SINCE 2002

Green solutions to Africa’s energy deficit

Windiga Energy

&

Mining Indaba 2014

Team Canada on the world stage

24

18

10

26

20

26

242014

p.26 Port elizabeth, south africa


On behalf of the Canadian Council on Africa, I am very pleased to share news about the overwhelmingly positive outcomes of the 2014 Invest in African Mining Indaba convention that took place in Cape Town, South Africa in February. Marking its 20th anniversary this year, Mining Indaba is well known as a prime location for building international partnerships and economic growth within the extraction sector in Africa.

Against the magnificent backdrop of Cape Town and Table Mountain, Mining Indaba 2014 promised more than 7,500 global mining industry professionals countless opportunities to come together, share knowledge, network and do business on behalf of the industry. At the Convention Centre, the Canada Pavilion was a hub of activity for CCAfrica’s membership and VIPs seeking to build bridges between Canadian and African enterprise.

We wish to thank the Canadian Govern-ment for their high involvement as hosts of the Pavilion. A large delegation of influen-tial participants, led by Minister Paradis, came together to assert Canadian leader-ship within the African mining sector and to showcase on the international stage our proven industry expertise, which is highly coveted within emerging African markets.

Mining Indaba 2014 boasted the largest Canadian presence in the convention’s two decades of history; the list of 80 delegates included government representatives, trade commissioners and heads of mission, and representatives from 35 Canadian com-panies. The various events staged at the

convention had double the reception from previous years. New introductions led to interest in joining CCAfrica and we’re pleased to welcome these new members.

CCAfrica wishes to extend a heartfelt thanks to the key sponsors of the Canada Pavilion, as without their support the event would not have been the resounding suc-cess that we saw. These include the Cana-dian Federal Government, the Government of Quebec, The Mining Association of Canada (MAC), the Canadian Institute of Mining (CIM) and the Prospectors and Developers Association of Canada (PDAC).

CCAfrica remains committed to build-ing trade between nations with a presence in Toronto at the upcoming PDAC conven-tion. Much has been planned to further support those who seek to do business on the Continent, with a specific focus on the extractive industry. The Council will provide many forums and introduction for delegates with a view to building fruitful relationships that benefit all parties.

With the warm hospitality demon-strated in Cape Town during Mining Indaba fresh in our minds, we hope that you will join us in welcoming the many African delegations that will be present at PDAC.

Regards,

Chris Kianza

Letter

Mining Indaba 2014:A Resounding Success

chris KianzaPresident and Founder of The Rising Africa / Vice President of the Canadian Council on Africa


generaL eDiTOr | rising africa

Chris Kianza

Editorial

Managing eDiTOr | gOrDOngrOUP

Simon OsbornePrOJecT ManageMenT | rising africa

Léonie PerronPrOJecT ManageMenT | gOrDOngrOUP

Jodi LackeyTransLaTiOn | rising africa

Luka Tremblay, Léo Vincenti

art

arT DirecTOr | gOrDOngrOUP

Leslie MilesassOciaTe arT DirecTOr | gOrDOngrOUP

Kelly Read-LyonDesign anD LaYOUT | gOrDOngrOUP

Jim Muir, Karl Hasenhuendl, Alina Oliveira

CoNtriBUtorS

Nancy Argyle Elizabeth Bannerman Robert Nettleton Simon Osborne

inTerViews anD PhOTOgraPhY

Robert Chitty (unless otherwise noted)

advErtiSiNg SalES

DirecTOr Of aDVerTising saLes | gOrDOngrOUP

Kirill KornilovaDVerTising saLes | gOrDOngrOUP

Colleen Hayes

The Rising Africa is published on behalf of the canadian council on africa

72 chamberlain avenue, Ottawa, On K1s 1V9 canaDa

fOr generaL infOrMaTiOn, cOnTacT chris KianZa: Tel.: 613-565-3011

Toll-free: 1-888-852-9461 | email: [email protected] | ccafrica.ca

fOr aDVerTising inQUiries, cOnTacT KiriLL KOrniLOV: Tel.: 613-288-5363

fax: 613-722-6496 | email: [email protected] | gordongroup.com

issn: 2292-2792

The canadian council on africa (ccafrica) is the only canadian organization dedicated to the

economic development of africa. it is a non-profit, membership-based organization established

in 2002, the year of the Kananaskis g8 summit, where the agenda included the development

of a self-help plan for africa. ccafrica focuses on the future of african economy and the

positive role that canada can play in meeting some of the challenges in africa.

nOTe: The opinions expressed within are those of the authors and do not necessarily reflect

ccafrica policy. no part of this magazine may be reproduced in whole or in part without

written permission of the publisher.

ccafrica can be a valuable partner to help your business reach the african market.

Visit ccafrica.ca to learn more about the organization and how to become a Member.

Rising AfRicAthe

CCAfricafrique

Canadian Council on AfricaConseil Canadien pour l’Afrique

gordongroup.com

Publishing partner, The Rising Africa magazine

As THE CAnAdiAn CounCil on AfriCA’s CommuniCAtions

pArtner, gordongroup is working to grow trAde

between nAtions.

We can help your mining business break new ground on the Continent

and around the world—supporting your brand and your bottom line.

26 years in Ottawa, the heart of Canada’s mining leadership |

One-stop marketing shop for strategy, design thinking and media

tools | Expertise in mining-specific communications, indigenous

partnerships, Corporate Social Responsibility

eXplore new territorY. ConneCt witH gordongroup todAY.

To start the conversation, contact Robert Chitty, gordongroup

President, at [email protected] / 613 234 8468 x236.

16785 gg ad_for magazine_v3.indd 1 2/21/14 5:01 PM

The Power to Drive Change windiga energy is providing access to energy, an essential element of development in africa By Robert Nettleton

S ub-Saharan Africa has an average annual gross domestic product growth rate of just over 5 percent. The lack of accessible

energy is a major challenge and impedes economic growth in all African countries. Energy is a major line item in African mining production costs, but the supply-and-demand imbalance is creating major continent-wide reliability issues.

In the Sub-Saharan regions of Africa, the demand for energy continues to esca-late at a startling rate of about 10 percent each year, while the supply growth rate is not even half that, at only 3 percent. The result is a 7 percent deficit that continues to compound year after year. It is a situation that remains unresolved, mainly due to the limited availability of financing from public aid or concessional funding, compounded by the countries’ financial capability to contract debt. Hence, African governments are looking more and more to the private sector as part of the solution.

With Africa being a source of many renewable energy resources, the opportuni-

ties for the continent to open its doors to foreign renewable energy investors from the world’s private sectors are as vast as the land itself. One of the companies looking to seize the day is Windiga Energy.

Windiga’s leadershipWindiga Energy is a Canadian-based independent power producer (IPP) focused on developing, owning and operating renewable energy facilities on the African continent. Windiga was founded in 2010 by Mr. Benoit La Salle and benefits from his expertise in African operations and rela-tions, developed while he was at the helm of SEMAFO, a gold mining company with operations in West Africa.

Windiga Energy is a privately held company, owned by its management and by Dundee Energy. Co-owner Dundee Energy is under the stewardship of Ned Goodman, the founder and CEO of Dundee Corporation. Joining Messrs. La Salle and Goodman on the Board of Directors is the Chairman, the Honorable Jean Charest, former Premier of Quebec. Today, Windiga is leading renew-

able energy development in a number of Sub-Saharan African countries including Burkina Faso, where it is completing the development of its first solar project, as well as Ghana, Mauritania, Côte d’Ivoire and Congo.

Taking into consideration the potential energy sources available in Africa, Windiga is currently developing three types of green energy source intiatives, namely solar, biomass and waste-to-energy projects. Windiga plans to establish power genera-tion facilities that can sustainably benefit all stakeholders, including Sub-Saharan populations and governments, while respecting commitments to Windiga’s technical partners and shareholders.

Based on Windiga’s research and experience, solar energy projects can be easily replicated and are therefore the initiative of choice in the various Sub-Saharan countries.

“As we know, solar radiation is very high in Africa and available all year. Other sources are more complex,” says La Salle. “They do not allow for the same gain in efficiencies.”


innovation


The large quantities of untapped biomass in Africa—such as forest residues, cocoa shells, cashews, palm leaves, coffee residues and others agricultural sources—can be used to create biomass energy. Biomass is processed through combustion or gasifi-cation with steam turbines that are used to produce electricity. Converting waste to energy, or waste valorization, requires a number of key calculated inputs, such as regular and proper collection of waste, suitable waste characterization and proper valorization processes in order to produce sufficient energy at a competitive price.

Financing SolutionsOne of the major challenges for Windiga is to bring projects to the financial closure and stage of construction. As an IPP, the company must conduct many types of up-front studies in order to determine the viability of each project, assess costs and ensure revenues over the course of a 20- or 25-year period, a standard for renew-

able energy projects. Private projects in renewable energy are relatively new in Africa, and it takes time for stakehold-ers and government decision makers to familiarize themselves with private project financing.

“Our objective is to achieve optimal financing conditions to reach an accept-able selling price,” says La Salle. “We need to identify the best financial conditions from the private sector development banks and to package all of this to gain necessary acceptance from the respective government authorities.”

Public sector financing may be available to provide some benefits, such as low inter-est loans or subsidies to mitigate costs of production, but it has an impact on the bal-ance sheet of the country’s debt and greatly depends on the lenders’ budgets as well as government’s financing capacity and com-mitment to renewable energy programs.

The management of Windiga has a solid background in development projects in

Africa dating back to 1995. In addition, over the past 25 years, Mr. La Salle has been involved in investments in the African mining sector totaling over $500 million. This experience, he believes, can be applied to the energy sector.

“A good understanding of the culture, the business environment and risk toler-ances help us considerably to mitigate investment risks,” says La Salle.

Windiga is open to exploring renew-able energy projects in all African coun-tries in the future, La Salle says, as long as the conditions are suitable to start up and to bring a project to a successful completion.

“It entails many things: finding a welcome investment atmosphere and a serious willingness of governments to consider renewable energies, an adequate institutional framework, an energy context that permits renewable energy to be com-petitive, and a strong interest for privately financed projects,” he says. RA

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canada is one of the largest mining nations in the world. Our highly developed domestic industry produced 60 minerals and metals and contributed $53 billion to canada’s gross Domestic Product (gDP) in 2012. By Robert Nettleton

Canada’s Mining Industry at a Glance: Mining Sector Performance Report 1998–2012

overview of the Mining Sector across Canada, 2012


industry

W hile the mining sector certainly experienced a downturn during the 2008 global recession, the

Mining Sector Performance Report (MSPR) paints a picture of a consistently expanding industry with potential for greater explora-tion and investments on the global stage.

The 2013 MsPr measured the

sector against 23 defined indicators

over a 14-year period, through

collaboration between all levels of

government and multi-stakeholder

advisory committees.

Since 1998, the value of mineral produc-tion experienced an average growth of 6.8 percent, largely due to increasing demand from China. This includes metallic and non-metallic minerals and coal. The growth in the value of mineral production peaked in 2011 at $50.9 billion, but dipped 7.9 percent in 2012 as a result of the lasting effects of the global economic downturn. Growth is generally attributed to demands in emerging markets and high commodity prices that speak to the industry’s vitality and generated revenues.

Mineral Production Facts:• China consumed 43 percent of the world’s

metal output in 2011, encouraging the Canadian mining industry’s rapid recovery following the 2008 economic downturn.

• Ontario led the provinces and territories with its share of Canadian mineral production.

• Ontario, British Columbia, Saskatchewan and Quebec contributed 70 percent of Canada’s mineral production.

The mining sector’s GDP declined 11.1 percent between 2007 ($59.6 billion) and 2012 ($53 billion). The 2008 global economic downturn had a significant effect on the mining sector’s real GDP, declining by $12.2 billion, or 21 percent, between 2008 and 2009. GDP is one of the most widely used economic indicators and represents the total dollar value of all final goods and services. Real GDP does not include intermediary services or products used to make a final product or provide a service.

gdP Facts:• Canada’s mining industry has steadily

increased real GDP since 2009.• The mining industry’s contribution

to GDP has not yet reached pre-global recession levels.

• Between 2007 and 2012, mineral process-ing industries (e.g. metal fabrication) were responsible for 60 percent of the sector’s GDP contribution, compared with 40 percent for mining.

The value of minerals and metals exports fell 9 percent between 2011 and 2012, largely due to economic uncertainty at the time. The value of Canada’s mining exports has fluctuated quite regularly over the course of the years, particularly in 2009 where the value fell to $11.9 billion from $25.9 billion in 2008. Canada’s prosperity and the success of its mining sector depend heavily on for-eign markets and international trade. Trade helps to fuel economic growth, create and sustain jobs and providing affordable goods and services to Canadians.

Export Facts:• From 1998 to 2012, mining contributed

a cumulative $154 billion to Canada’s balance of trade.

• Canada typically runs a large negative balance of trade because it imports more than it exports.

• The value of gold exports has increased more than fivefold from 1998 ($3.4 bil-lion) to 2012 ($17 billion), becoming Canada’s most valuable exported mineral commodity. RA


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interview with glenn nolan, President, Prospectors and Developers association of canadaBy The Rising Africa

The canadian companies are seen as leaders when it comes

to environmental protection, sustainable

development, engaging local communities

and the technical expertise we bring

to this industry.

‘‘

‘‘

Expertise:A Canadian

Mining Export

The canada Pavilion, Mining indaba

T he Prospectors and Developers Association of Canada (PDAC) is a national organization estab-lished in 1932 to represent the

Canadian mineral exploration and develop-ment industry. The organization primarily maintains a national focus, but encourages leading practices in technical, safety, and social performance internationally as well. The Rising Africa spoke to PDAC’s Presi-dent, Glenn Nolan, at the Canada Pavilion at Mining Indaba to hear his thoughts on the event, building new partnerships, and how Canada’s positive reputation plays into global development projects.

thE riSiNg aFriCa: Can you share with

us a little bit about your organization,

and specifically the conference, which

is a big event in Canada within the

extractive industry?

glENN NolaN: The PDAC has been an asso-ciation for over 80 years, and we’ve held an annual conference since that time and it’s grown to quite large proportions. We’re the

largest annual mineral industry show in the world. We had, in the last two years, over 30,000 delegates—we have about 10,000 members, both corporate and individual—and at the convention last year, we also had a large contingent from international locations. About one third of the delegates came from other countries and we had 126 countries represented.

So what are the outcomes of this event

from your experience?

Well, it’s a great place to network. It’s where deals are being made. It’s where companies can learn more about what other smaller companies or properties are being looked at. Deals are being cemented and further development is happening. And it’s not just happening in Canada, of course—it’s about how the reach of our industry is global, and how Canadian companies are working around the globe to look at new resources.

On that note, what do you feel has

to happen to increase trade between

Canada and Africa, and what are the

barriers? What’s going on in terms of

new opportunities that mining sectors

can capitalize on?

One of the things that we’ve been promot-ing for a long time is positive environmen-tal protection, social engagement with local communities, and transparency with gov-ernments that we’re working with. So it’s important when we go into a country that the rules are clear, that we understand what the process is to acquire land and maintain a holding in a country. But also, it gives our investors surety that the projects that we’re working on are going to be sustainable and will have long-term development potential.

Do you partner with Indaba in some

respects? Is there some cross-pollination

going on between these events?

Well, it’s always good to see what other conferences are doing and what they’re talking about and how they’re organized. But it’s also important that PDAC has a

presence here, because we are such a large organization in the sense of our contacts, and the convention is the largest in the world. It’s important that we reach out to potential delegates and also to companies that want to either join our association or look at moving their business into Toronto or into Canada, so that they can participate in one of the largest stock markets in the world that focuses on mining, which is the Toronto Stock Exchange.

And what about their presence here in

terms of Canada’s position within the

global context? How would you sum it

up in terms of what you’ve seen so far

here in Africa?

Canadian companies and the government of Canada have always been recognized as leaders in helping to develop projects globally, and it’s no different here in Africa. The Canadian companies are seen as leaders when it comes to environmen-tal protection, sustainable development, engaging local communities and the tech-nical expertise we bring to this industry. So partnerships are inevitable with our companies and we’re attracted to come to Africa to do work, because of the positive reputation we carry.

Is there anything else you’d like to

touch on?

It’s always nice to come out to attend other conferences around the globe, but I think that the premier event annually is the PDAC conference, because of the number of delegates, the number of companies that come to our show. And it also allows for greater dialogue on all those important issues that companies face, regardless of where they work. So, we look forward to seeing as many people as possible at the PDAC and look forward to hearing all these great stories that our companies are work-ing on to develop into new opportunities for local populations, for governments and for the companies. The convention starts on March 2 and lasts until March 5, and we look forward to seeing you there. RA


Expertise:

Q&a

The canada Pavilion, Mining indaba


interview with Pierre gratton, President and ceO, Mining association of canadaBy The Rising Africa

SettingHigherStandards

S ince 1935, the Mining Associa-tion of Canada (MAC) has pro-moted Canada’s mining industry on the international stage. In

Canada, the organization works to educate the public on the true value of our mining industry, and to advocate among govern-ments on policies that affect the industry. They launched the Towards Sustainable Mining (TSM) initiative in 2004, a program that promotes socially, economically and environmentally responsible mining. The President and CEO of MAC, Pierre Grat-ton, spoke with The Rising Africa at Mining Indaba about the progress this unique pro-gram has made over its 10-year history and the high standard of MAC membership.

thE riSiNg aFriCa: Thank you very much

for taking part. Would you mind taking

a minute to introduce yourself and tell

us a little bit about the organization

you represent?

PiErrE grattoN: Sure. I’m Pierre Gratton, the President and CEO of The Mining Association of Canada, based in Ottawa. We represent Canada’s mining producers and so are very active in the Cana-dian scene, in terms of rep-resenting the industry, being the voice of the industry on a national level. And we work in all sorts of areas and public policy—increasingly we have an international focus within MAC. That’s really why I’m here.

What kind of member-

ship do you have—what

numbers?

We have 39 full members, all full members in terms of mining companies with operations in Canada producing a wide range of commodities, from base metals to precious metals to diamonds to iron ore to metallurgical coal, uranium and oil from the oil sands. So a real mix of commodities with members operating in pretty well every jurisdiction in Canada.

If I understand correctly, you have

a unique program known as Towards

Sustainable Mining, or TSM. And if I’m

not mistaken, most of your membership—

it’s broadly been endorsed and

implemented in their recording.

It’s actually a condition of membership. Members of MAC have to implement Towards Sustainable Mining, and it’s a system for addressing key aspects of min-ing operations that are important to people, critical to the environment. Every year they evaluate how they’re doing against a range of performance criteria and report those results publicly, and every third year they have those results verified by a third party who ensures that what they’re recording is accurate. So it’s a pretty rigorous system that’s been around now for 10 years, and it’s really in the last couple of years that it’s starting to get a lot more attention, includ-ing outside Canada.

So in that sense, when you read

those indicators are you able to

actually validate the impact on local

communities, for example?

This is actually something that makes TSM unique—there’s no other system like it in the world in mining. You’re evaluating at the site level how well, for example, are the mine sites engaging with the local communities, Aboriginal communities. How do they provide assistance to those communities, if they need it, to help them engage with companies? They have systems in place to address concerns that communities might have, issues that may arise, anything from dust control to noise level to employment issues. So it’s to really help the industry

put in place what we consider to be good practices—and that, of course, is critical to earning and maintaining your privilege to operate.

So this has been in operation for 10

years. You must have some pretty good

sense across a continuum of who’s really

demonstrating leadership.

You can actually look at performance across company mine sites within a company and you can compare mine sites across many companies to see how they’re doing. But in terms of leadership, what we’ve noticed is over the last 10 years, we’re able to demonstrate progress across the board for the industry, and that’s publicly available on our website. You’re able to show how the industry has been improving in these critical areas, like tailings manage-ment, like energy management, like com-munity engagement.

And I’ll be honest, you know, across the industry, some are leaders in some areas and others are leaders in other areas. It’s hard to say, is there one company out in front, across the board?

Does it fit into the Equator Principles?

In many ways it does. In fact, what our system has done is provide the tools to operationalize the IFC standards and the Equator Principles. So it’s like an ISO 14000 system for mining; it’s a management sys-tem approached largely with some specific targets built in that allows companies to demonstrate that they’re doing what they committed to.

So here we are at Mining Indaba. I’m

curious how you found your experience

here, and what you’re taking back to

Canada based on your time so far?

I’ve really enjoyed it. I’m here largely from a policy interest. It’s a trade show and there’s business being done, but there are also a lot of discussions around some of the critical policy issues facing the industry, around relationships with com-munities, for example, or environmental issues. And so I’m certainly finding it a good place to have those kinds of conver-sations, to see what the industry’s doing and share what we have to offer through TSM and through other work that we’ve done, to help the industry improve how it operates. RA


This is actually

something that makes

TsM unique— there’s

no other system like it in the world in mining.

‘‘‘‘

Q&a

investing in african Mining indaba 2014 was held in cape Town, south africa in early february, marking the 20th anniversary of the third largest mining conference in the world. By Robert Nettleton

This year, Mining Indaba attracted more than 7,250 guests from over 107 countries and territories across 6 continents looking to network, do business and hear from the world’s foremost experts on Africa’s mining investment climate.

The event was highlighted by a host of keynote speakers and special guests including the Honourable Colin Barnet, Premier of Western Australia, and Susan Shabangu, South Africa’s Minister of Mineral Resources.

Mining Indaba provided a forum for attendees to discuss some key issues relat-ing to mining, such as methods to unlock the continent’s mining potential, sustain-able or responsible mining, and growing investment opportunities.

Billion dollar MapTom Butler, Global Head of Mining of The World Bank, used the conference as a platform to announce a $1 billion plan that will seek to fill in the gaps in geographical discovery of Africa’s natural resources, in order to more clearly define the nation’s untapped wealth.

The project, dubbed the Billion Dollar Map, will work to unlock Africa’s true mineral potential and create a plan that would entice investors to join in. Butler said at the conference that many Africa’s subsoil resources have not yet been sur-veyed, creating potential for “an enormous amount of wealth left to be discovered.”

Sustainable developmentOrganizers dedicated one day of speaking sessions to issues relating to sustainable development in the mining industry. Sir Paul Collier, mining scholar and Direc-tor of the Centre for the Study of African Economies at the University of Oxford, was there to lead one of the sessions.

Collier focused on how mining can contribute to social cohesion, but strongly advised businesses to take a sustainable approach to developing economies through mining, while still ensuring positive returns on investment.

“Mining companies are businesses and businesses need to fundamentally make money, but there has to be some larger sense of purpose. Good management in

all companies lies in investing in a good sense of purpose and mission,” he said.

investment opportunitiesAndrew Monk, chief executive of VSA Capital in London, spoke at Mining Indaba’s first “Investment Discovery Forum,” making reference to the fact that while 2012 and 2013 were bad years on the investment front, Africa’s mining industry has much to look forward to in the coming years.

Infrastructure problems, including power, rail, road, etc., are causing major challenges to the economic development of Africa. In some cases, productivity is reduced by as much as 40 percent in some regions. The solutions may in fact be with foreign investors in the private sectors. Tom Butler, who also sat on the panel, said that The World Bank “projects an investment of $87 billion in Africa in the next few years, with economic growth at 5 percent.”

The 21st Annual Investing in African Mining Indaba will be held February 9 to 12, 2015 in Cape Town, South Africa. Visit www.miningindaba.com for more. RA


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interview with Jean charest, Partner, Mccarthy Tétrault, and former Premier of QuebecBy The Rising Africa

A fter a distinguished 30-year career as one of Canada’s most prominent political leaders, Jean Charest resigned from public office in 2012. Now, as

Partner at law firm McCarthy Tétrault, he assists cli-ents in navigating the global business environment, with specializations in international trade, invest-ment, and private transactions. The Rising Africa spoke with Mr. Charest about Canada’s reputation abroad and why some Canadian companies may be hesitant about launching into the African market.

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Timeto Be

Here

Jean Charest in discussion with Barbara Giacomin (left), senior Canadian Trade Commissioner, and Lisa Stadelbauer, Canada’s Ambassador to Zimbabwe


thE riSiNg aFriCa: Thank you for taking

the time, with your busy schedule here,

to share some points of view. Can you

give me a little bit of perspective—an

overview, I suppose, on Canada’s activity

in terms of trade with Africa?

JEaN CharESt: Well, trade with Africa is still relatively modest. We’d compare to what we’re doing with the United States, of course, and with the rest of the world. Canada, like other countries, has taken a stronger interest in what’s happening on the trade side in Africa, relative to aid and presence in la Francophonie because of the emergence of these new economies and the stronger demand on natural resources.

The Canadian angle is very interesting because when we refer to mining, oil and gas, though we’re a relatively small country in terms of number of people, we are a trade group in mining, oil and gas. Fifty percent of the world’s investments in min-ing happen in Toronto at the Toronto Stock Exchange. And that translates into compa-nies deploying all over the world, including Africa, and paying more attention to what’s happening in Africa, and the same is true for oil and gas. So for Canada, Africa is tak-ing on a whole new significance.

Do you have a perspective on our

reputation as it relates to corporate

social responsibility, and how Canadians

are viewed from the point of view of their

practices here on the continent?

We have an advantage here at the outset because the branding of Canada is strong and we’re viewed as a pristine country, a country that’s peaceful, a country that has espoused values that are based on compassion and universal human values. If we compare with the United States, for example, we have that advantage of being viewed as a non-imperialistic, non-colonial country with two languages. So it’s a great advantage from the outset.

Now, in the mining sector, in regards to corporate social responsibility, I think we do have a good reputation—we’re viewed positively—but that’s not something we can take for granted. It’s something that’s judged on a project-per-project basis and we have seen instances of Canadian com-panies who’ve got themselves into trouble

all over the world, rightly or wrongly, but they’ve been in the middle of controversy relative to the implementation of projects. So corporate social responsibility is some-thing we take seriously generally, but not something we can take for granted. And the mistake would be to think that what applies in one community is true for another. What’s behind it, really, is a very real effort and a sincere effort to work with a com-munity, and that is something that has to be done on a project-per-project basis.

What would you say to organizations that

want to launch into Africa that perhaps

are concerned about some of the risks

attached? There have been some rather

unfortunate things happen over here,

and there are stereotypes as well…

What’s true, I think, for every project is even more important for Africa. Research has to be very, very important: research in terms of knowing about a country, about its history, about who the players are, but also the kind of research that should be done on the ground. If someone wants to invest in Africa, they absolutely have to go and see and touch and feel and get a sense for it themselves. And there are issues here that they will not find back home, in terms for example of corruption, of bureaucratic management. Governments don’t operate the same way; the capacity of governments are not the same. I had a file in one African country and what you see—which is pretty much the typical scenarios of the minister at the executive level—is a very competent person. The person below him is a strong person, and then below that, there’s not a lot of capacity.

Which means that you have to work very differently than if you’re working in a developed country—that you have to com-pensate, that you have to secure the people you’re talking to. Because they also look at us as people who are coming in to exploit their resources, and you have to have the ability to put yourself in their shoes to understand how they see those who are

offering foreign direct investment. If you’re able to pay attention to that and understand it, then you’re in a position where you can invest in a country and do well by your shareholders and do well by the country. But in the end the community has to be a winner and the country has to be a winner.

Just to wrap it up, I’m wondering if

there’s anything you’d like to share in

terms of your experience on the ground

here at Mining Indaba?

Well, Mining Indaba is interesting because beyond the cycle of mining—and those in the industry know all too well that there are cycles, ups, downs, value of currency, conflicts or whatever—Africa should be on the agenda of any resource company. If they are not asking themselves that question

“where does Africa fit in this equation?”, then very frankly they are not doing their job. And Africa will play a more significant role as time will evolve and that will go fairly rapidly.

The other thing I’d recommend to those who are looking at Africa would be to remember South America 40 years ago. And it’s not exactly the same,

but one of the things that will be similar is how the governance of the countries will evolve over the next 40 years in Africa, and that will be a very positive story. It’s going to happen. And so if you look at where South America was 40 years ago and where it is now, and translate that into Africa, what it generally will tell you is that now is a good time to be here.

And there are countries that will stand out. We already know of a few of them: Ivory Coast, for example, has just been through a long period of conflict and what I’ve seen in Ivory Coast is very positive, in leadership, institutional ability, stability, and there’s a depth in terms of bureaucratic ability. So look at it from that perspective, and this makes the continent a very inter-esting place. As Canadians even better so, because of language. We have the ability to be in West Africa talking their language—huge advantage for us. RA

Q&a

if someone wants to invest in africa, they

absolutely have to go and see and touch and feel and get a sense for it

themselves.

‘‘‘‘


interview with Benoit La salle, chairman of the Board of Directors, ccafrica By The Rising Africa

(from left to right:) Michael Jarvis and Ousmane Deme; christian Paradis and Jean charest; Marit Kitaw and Laetitia gadegbeku

(from left to right:) Jean charest, Pierre Boivin and Benoit La salle; susan shabangu and chris Kianza; Leila Ouahit, Jean-Marc evenat and Jean charest

A Bridge for Canadian Business


Q&a

What are some of the risks for companies looking

to come into Africa?

The biggest risk is getting trapped with a broker, a local representative, who does not have the same values, work ethic or even belong to the industry. Most of the bad experiences companies have had in Africa come from the fact that they were using the wrong partner. And that’s the biggest risk. The Canadian Council on Africa wants to be there to make sure companies are using the right approach. We want to protect them from these industry hackers who come in, do a really bad job and can give the industry a bad reputation.

What’s the general perception among Africans

toward the way Canadian industry is run and

how we stand in terms of our corporate social

responsibility practices?

We do not use the European structure, which is hierarchical and extremely directive. We have much more of a flat managerial structure and that works very well in Africa. Africans are extremely well trained; they want to work hard; they love their companies and are very dedicated. They prefer the Canadian style.

Canada has been a great partner to Africa over the years. As you know, in Canada, we have a lot of bursary programs that help send African students to Canada. These students go back to their home country and do very well. We played a development role in that sense. These students now have ties to Canada, and Canada needs to use its expertise and these contacts to be a part of developing Africa. Canada is very good at social development, and to tie that with economic development, it becomes a win-win situation for Africa and Canada.

Is there anything else you’d like to express in

terms of your experience in Africa?

Africa may be scary. It may seem far. Eighty-five per-cent of the people who work in Africa prefer working in Africa over their home country. To me, it’s like jumping into a pool. You always think the water will be cold, but once you’re in it, it’s fresh and nice. Africa is fresh and nice. You’ll want to jump in. RA

T he Canadian Council on Africa (CCAfrica) is the only Canadian orga-nization dedicated to the economic development of Africa. It involves the

partnership of both Canadian and African enter-prises, educational institutions, and provincial and federal government agencies—working together to foster better economic trade between the two coun-tries. The Rising Africa spoke with Benoit La Salle, the Chairman of the Board of Directors of CCAfrica, about some of his opinions on trade relations between Canada and Africa, and the role of CCAfrica in helping to foster these relationships.

thE riSiNg aFriCa: Can you share your perspective

on trade between Canada and Africa?

BENoit la SallE: Trade between Canada and Africa is on a fast track—it’s expanding very quickly. We all know Africa is the continent of the future, so it’s extremely competitive. However, we all know that demography drives economic devel-opment and the demography of Africa is fantastic. Right now Africa is home to about 1.4 billion individuals, and that is expected to grow to 2.4 bil-lion in the next 30 to 40 years. There is a mas-sive movement out of agriculture into the middle class, into industrial companies and production. You’re going to see massive consumption com-ing into Africa, with the right level of purchasing power, and Canada needs to be a part of this. The Canadian Council on Africa is the bridge between Canada and Africa. It will provide the platform that Canadian companies will use to come to Africa and the platform for African governments to come present to Canadian companies.

Do you feel the Council will provide endorsement

for new entries into Africa?

Absolutely. The Council has to be the platform to facilitate entry—to direct and to help and coach some of our Canadian companies, and to organize meetings where Canadian companies can meet the senior officials of African countries, to accelerate the process. If you go in cold, it can be a long process.

canada is seen as one of the best partners in the world

because of our management

skills and structure.

‘‘‘‘

(from left to right:) Mohamed L. Diarra, Lassana guindo and almahady cisse; Daniel Vezina, Maureen coulas and Philip Baker; Patrick gregoire and Marc-antoine audet


interview with the honourable christian Paradis, Minister of

international Development and Minister for La francophonie

By Benoit La Salle

T he Honourable Christian Paradis was first elected to the House of Commons in 2006 and appointed Minister of International Develop-ment and Minister for La Francophonie in 2013. He and his office work to engage Canadian expertise, interest and investment in international

development opportunities in many African countries. Benoit La Salle, Chairman of the Board of Directors of CCAfrica, spoke with Mr. Paradis about the potential for Canada to participate in the current development in Africa, and the impor-tance of seizing these opportunities for mutual gain.

BENoit la SallE: How do you see our presence now in Africa with the growth

that is forecasted in the mining sector and in all sectors?

ChriStiaN ParadiS: We need to have a good understanding about what is going on here and what the opportunities are. I think that an organization such as yours can give good perspectives to the government to help us make sure that we are on track in terms of our direction, what we want to do and accomplish. I heard many leaders say they were looking for partnership. So we have to be pragmatic and fully understand that this is exactly the kind of support and expertise that you provide. The bottom line is that this is vital: we need you.

How does it feel knowing you will be the mentor of this relationship with

Canada and participating in the development of Africa?

I truly believe in this. The potential here is enormous. People do have a lot of confidence in Canada, in our private sector and our government. Of course I will be happy to push on this file. It is very important because we see the booming economy and demography. This is a huge opportunity for a win-win situation for both the African and Canadian people.

Seizing theOpportunities

This is a huge

opportunity for a win-win

situation for both

the african and canadian

people.

‘‘‘‘


Convincing Canadian companies that are

operating in Canada to consider Africa

is a big job. Is the Canadian government

going to go on a general awareness

campaign or be more targeted towards

certain companies who are not as well

informed of the potential in Africa?

I think the paradigms have changed a lot in the last years. We have to change the story because the facts have changed. We are a very big player and there are countries of interest here. We see more partner-ships—we see countries like Mozambique and Tanzania investing in their energy sectors, and they need Canadian expertise. Once again, we have to be pragmatic and demonstrate that the government is doing all of this because there are opportunities, and Africa is rich in resources, and is and will be an important market. We have to link it all together and tell that story. As a member of government, I will do my part in terms of public awareness. I was in West Africa recently, I am here now in South Africa and I am scheduled to come back at least twice before the end of the year. I will

keep continuing to get the facts, and after that, tell the story to Canada.

This is very good news for Canadian

companies. It’s excellent news for Africa.

If we can bring our companies into Africa

to participate, our students will see

that they have job opportunities at the

international level. On the education front,

it’s an extremely important situation…

Absolutely, and we need to be opportunists. In terms of ingenuity, we are an innovative society. Our expertise is very well recog-nized and people do want it. And also we have close links with la Francophonie, for example, so we can be very active there and we share this common value. And what we did in the last year is just tremendous, in terms of governance, advancing democ-racy and now in la Francophonie we are talking about economic development. So the economic strategy will be pushed in the summit coming in Dakar in November. So we have to be opportunists and seize the opportunities, and this is what I intend to do as Minister for sure. RA

Mr. Paradis discusses canada’s impact at Mining indaba with Mr. La salle.

Title to come hereDeck TK. Byline TK.

Body TK. RA


sLuG tK

“I believe that South Africa is the most beautiful place on earth.Admittedly, I am biased but when you combine the natural beauty of sunny South Africa with the friendliness and cultural diversity of our people, and the fact that the region is a haven for Africa’s most splendid wildlife, then I think that we have been blessed with a truly wonderful land.” – Nelson Mandela

Title to come hereDeck TK. Byline TK.

Body TK. RA


sLuG tKsouth africa speciaL

“I believe that South Africa is the most beautiful place on earth.



M andela’s passing is still very fresh in our minds, but in many ways, the gift of hope and optimism he bestowed on South Africa lives on today, and the country continues to build upon it. Economic

indicators show promise, suggesting a healthy resilience in the face of global economic instability. In fact, many of South Africa’s key industries are experiencing growth, including mining, energy, tourism and agriculture.

international relationsSouth Africa’s international relations and foreign policies are guided by the concept of ubuntu, meaning “humanness,” a philosophy that encourages respect of all nations, peoples and cultures. The concept greatly influences South Africa’s work for global political and socio-economy stability, security and peace. South Africa currently sits on the United Nations Security Council (UNSC) and works to promote the African Agenda of peace, security and development. South Africa’s biggest and most important development partner is the European Union, which provides 70 percent of all of South Africa’s external assistance funding.

*sOUrce www.gOV.Za

Spotlight on South AfricaBy Robert Nettleton


industry: EnergyThe primary energy sources for South Africa include petroleum, natural gas, electricity and coal, nuclear and renewable fuels. The South African government actively supports sustainable green energy initiatives on a national scale, as indicated in the Integrated Resource Plan, which calls for 42 percent of electric-ity generated must come from renewable sources in as little as 20 years. In November 2012, a new revised national energy-effi-ciency strategy was approved by Cabinet, which sets a target for energy efficiency improvement of 12 percent by 2015. The strat-egy is already well on its way to being gradually implemented in municipal and federal levels of government.

*sOUrce www.gOV.Za

industry: agricultureSouth Africa’s agriculture sector is crucial to addressing many of the government’s priorities, including alleviating poverty, cre-ating jobs and food security. The sector is made up of demand-ing crop production, mixed farming and livestock-farming to produce corn, wheat, sugarcane, fruits, vegetables, beef, poultry, mutton, wool and dairy products. When the entire value chain of Africa’s agriculture sector is taken into the account, it contrib-utes 12 percent of the country’s GDP. It is therefore an essential component to country’s socio-economic development. Approxi-mately 9 percent of Africa’s labour force is concentrated in the agriculture sector.

*sOUrce www.gOV.Za

industry: MiningAs one of the world’s strongest mineral industries, South Africa is known for being a top producer of a variety of minerals, including platinum, vermiculite, chromium, palladium, zirconium, vana-dium, rutile, ilmenite, manganese, and gold. The mining sector accounted for 8.3 percent of the country’s GDP in 2012, according to the Chamber of Mines of South Africa. Gold, platinum group metals, iron ore and coal accounted for 81 percent of South Africa’s total mineral sales in 2012. Canada remains a huge investor in the African mining industry, contributing $1.7 billion towards funding Africa mining projects according to the Canadian International Development Platform. In return, 2012 saw Canada yield $12.9 bil-lion in revenue from Canadian-owned mines in Africa.

* sOUrce www.gOV.Za, www.ciDPnsi.ca, hTTP://www.BULLiOn.Org.Za/

industry: tourismSince the fall of apartheid, South Africa has become a booming international tourism destination, noted for its scenic beauty, cultural diversity, and its eight world heritage sites that continue to draw tourism to each of the nine provinces. International tourism grew in 2012 by 10.2 percent year-on-year to almost 9.2 million visitors, with the biggest surge in growth coming from Asia and South America. According to South African Tourism, the country is a leader and pioneer of responsible tourism, encouraging tourists to aim for the lowest possible impact on the environment and local culture during their stay in the coun-try. South Africa is also home to “The Big Five”: rhinos, elephants, lions, leopard and buffalo.

*sOUrce www.gOV.Za, www.sOUThafrica.neT

PoPUlatioN: 48,601,098 (2013 est.)

SizE: 1,219,090 km2 (slightly less than twice the size of Texas)

ProviNCES: 9 in total (The eastern cape, The free state, gauteng, KwaZulu-natal, Limpopo, Mpumalanga, The northern cape, north west, The western cape)

PrESidENt: Jacob Zuma

govErNMENt: republic, three-tiered

oFFiCial laNgUagES: isiZulu, isiXhosa, afrikaans, sepedi, english, setswana, sesotho, Xitsonga, siswati, Tshivenda, isindebele

NatioNal SyMBol: springbok antelope

ECoNoMiC SECtorS: Mining, energy, manufacturing, tourism and agriculture

EXPortS: $101.2 billion (2012): gold, diamonds, platinum, other metals and minerals, machinery and equipment

iMPortS: $106.8 billion (2012): machinery and equipment, chemicals, petroleum products, scientific instruments, foodstuffs

*sOUrce hTTPs://www.cia.gOV

Southat a glanceAfrica


Mr. Mabuza with Setepane Mohale, Chief Director, Minerals Policy and Promotion, Department of Mineral Resources, South Africa


Pursuing the

mining visionAfricaninterview with Mosa Mabuza, Deputy Director general, Mineral Policy and Promotion, south africaBy The Rising Africa


Q&a

thE riSiNg aFriCa: Would you like to take a few moments and share some perspective

about who you are and your background in the South African government?

MoSa MaBUza: Sure. My name is Mosa Mabuza. I work for the Department of Mineral Resources and am responsible for policy development, as well as investment promotion. I am privileged to work with a team of 100-odd people who are truly committed to dem-onstrating the opportunities as part of their mandate, and sharing with a targeted audience these opportunities that exist for development in South Africa in particular.

But South Africa’s development, for us, has to be located within broader African develop-ment. In that regard we have a vision for mining—the African mining vision. It is a vision that is already adopted by the heads of states of the African Union, all over, two years ago. It defines the broad principles for development of mining in the African continent—obviously recognizing that African countries are not homogeneous and that countries have their own sovereign laws. But it seeks to harmonize development of mining and provides the guiding principles for a new kind of partner we seek in Africa for development.

So when we are talking to the investment community, we are really inviting what we call development pacts—which marks a shift, a little bit, from the traditional investments for mining in the African continent to a new kind of mine in Africa, a mine that recognizes that the returns are great. Of course business must have returns, but host countries must also have a fair share of returns, and we believe it’s a possible kind of partnership.

There are vast opportunities in South Africa, in the continent currently. In South Africa, we have 63 minerals from which to choose, we have a stable political environment and we are encouraged by the World Economic Forum Competitiveness Index that evaluates several pillars of competitiveness and ranks the country quite favourably—particularly in respect of protection of investments, the regulations that govern the securities exchange, the soundness of the boards of corporations, and a whole range of other pillars in which South Africa really features quite eminently. This reassures us, as South Africans, that we have

Mr. Mabuza with Setepane Mohale, Chief Director, Minerals Policy and Promotion, Department of Mineral Resources, South Africa


done some things correctly and we plead with the investment community to look at us in their evaluation of investing in South Africa, and not rely on the headlines.

We’re talking about investment and

how stable investment will be based on

these policies that have been introduced.

Tell us about the community where

the development is happening—what

measures have you taken to improve

the impact and more positive outcomes

in those regions where mining is taking

place going forward?

Communities... Let me go back and say traditionally we’re mining two places, you know, mining generally takes place in these remote areas. These communi-ties are generally poor communities, and you then find that mining brings about development. In fact, that development in the past would only be limited to the surroundings of the mine and infra-structure directed only to support the functioning of the mine at that location. So, nothing personifies enclave develop-ment as what happened around mining in the past, because this development was surrounded by abject poverty, and hopelessness.

It is our argument that that model is unsustainable, because you need to have at least—communities have a sense of pride in their new neighbour in their community, called the mine, or mining development, and to that you pay. In fact, South Africa introduced what we call the trailblazer social licence to operate, which is not the same thing as corporate social responsibil-ity, but it is exactly that, the social license to operate. What it is, it’s a requirement for a miner to invest in a way in community development programs.

As we are mending now the law, we have learned that in the past 10 years that development has been fragmented because every miner who’s operating in the same environment would have their own com-munity development programs, and that fragmentation thins out the impact. In order to optimize the impact, we have cre-ated a legislative environment that central-izes, that enables companies operating in the same area to contribute to community development at a district municipality level. That way, you’re not only pulling resources

together, you’re also able to maximize the development impact, and have those com-munities see tangible results of mining. They can become true defenders of their investors in that development.

Have you got an example of a company

that’s doing just that?

In fact, this was a proposal we received from a company operating in the Eastern Limb of the Bushveld Igneous Complex. That is where the platinum is mined. They got together and looked at their own expenditures and they said look, if we pool together—it’s a dry area, there’s limited water and they need the water. The people living in those communities also need the water.

So if they pool together their resources for com-munity development, they are then able to partner with government, construct a dam, and part of the conditions that they’re putting together is that we will have access to water because these are the volumes of water we require. The difference? The communities can have access too. And this is a program that is already at an advanced stage, and we think it’s going to dem-onstrate just how great an impact of community development—without spending more money, just by pooling those resources together.

What kinds of things would you suggest

to a Canadian enterprise that is

contemplating coming to South Africa

next year to develop? Is there some

framework that you could share, very top

level—what would attract them?

Well, the one thing I would say which would establish interest is that we have several trillion dollars’ worth of resources, under the land, and this excludes any energy commodities. Now that’s a potential that requires partnerships, Canadian or any other partner, who’s willing to come with the development objective in South Africa.

We already have Canadian companies. In fact on Monday, Macquarie launched a fund—I think Macquarie is a Canadian company—they launched a fund for devel-opment in mining. And so that’s the kind of relationship that we already have with Canadian mining communities.

So you play a very central role from the

governance perspective. It’s not an open-

ended arrangement. I mean, we saw in

the workshop this morning, very clear

delineation of the steps. You’re looking

at a streamline of that, it seems to me.

Streamlining of those processes is very important to us, because we learn as we’re moving along, we’re improving in those areas but we are not as strong as

we’d like to be. One of the weaknesses we have had with the current legislation is that fragmented license and process—water use licence. You would know this, as a Canadian. Cana-dian investors understand this very well.

If you look five years out,

what do you envision for

the country? I’m curious

of your assessment and

what you envision for the

future mining development

in Africa.

It’s an exciting future we’re looking at. We’re looking at a better understanding of our intentions, a better appreciation and acknowl-

edgement of the regulatory framework, and perhaps a more objective comparative regulatory analysis that will project South Africa for what it really is.

This will take the next couple of years and then, I think that in the next five years, a good indicator—and this is for the Canadian mining investor community—I’m hoping that we would have doubled the current lev-els of investment in mining from Canadian investors, purely because they have begun to look at South Africa in its entirety and looked at the real potential that it has and offers. And that there is no better place, quite frankly, right now for investment in mineral development than South Africa. RA

in order to optimize the impact,

we have created a legislative environment

that centralizes, that enables companies

operating in the same area to contribute to community development at a district municipality

level.

‘‘‘‘



often located in remote areas

where access to labor, tools and

heavy equipment is limited or

even nonexistent, mining projects

require innovative solutions to overcome the

unique challenges they face.

from storing diesel in harsh climates to

keeping operations running smoothly with

reliable pumps, fuel supply is a top concern

for most exploration companies. when

there’s no gas station in sight for a thousand

miles, fuel management is critical to a suc-

cessful commercial operation. fortunately,

there are a number of products designed

with these challenges in mind.

for the past 30 years, sei industries Ltd.

has been developing and manufacturing cli-

mate-specific, turn-key solutions for mining

projects around the world. Today, sei offers

three climate-specific collapsible fuel tanks:

the arctic King, Desert King and Jungle

King. each tank type is designed to address

the challenges of working in adverse condi-

tions, whether they be freezing tempera-

tures, searing sun or high humidity.

collapsible tanks are ideal for remote

sites because they can be folded up to a

fraction of their deployable size, making

them easy and cost-effective for transpor-

tation to remote locations. collapsible tanks

are also durable, require almost no site

preparation, and are more environmentally-

friendly. These tanks can also be connected

together using manifolds to create a tank

farm with unlimited capacity. as well, col-

lapsible tanks can be easily relocated, mak-

ing them ideal for temporary deployments.

in addition to its popular King tank

range, sei also offers a substantial line

of purpose-built pumps engineered to

endure tough conditions. companies can

choose between custom-designed pump-

ing systems or standardized off-the-shelf

pumps. with numerous models and capaci-

ties to choose from, sei’s pump inventory

consists of:

• aviation refueling pumps with jet

fuel filtration coalescer/separator and

totalizing flow meter. available in 50

and 100 gpm models.

• heli-Pump offers a compact jet fuel

coalescer/separator filtration with

totalizing flow meter. available in

10-20 gpm models.

• transfer pumps for diesel or jet fuel.

available in 100 or 150 gpm models.

• vehicle pumps for diesel fuel with a choice

of 30, 60 or 90 gPM. each pump option is

housed on a skid with filtration and total-

izing flow meter.

sei also makes a number of products

that are used to transport fuel to remote

sites, including the fuel-easy, Double Drum

and BaTT. The fuel-easy is a slingable,

helicopter-transportable tank ideal for

transporting fuel into hard-to-reach sites.

The BaTT is an award-winning internal-

use tank desiged to transport bulk fuel to

major camp storage facilities by air. The

Double Drum is a hybrid container that can

be transported under a helicopter or inside

an aircraft.

sei has a long history of created fabric-

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tions. from those outcomes, product lines

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als, sei’s industrial fabric, some of which is

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and unrolled, as required.

employing a diverse workforce of many

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canadian company is an award-winning

manufacturer that supports commercial

and military operations in 110 countries

around the world.

By Nancy Argyle

a D V e r T O r i a L

Remote Mining Exploration Poses Unique Challenges

a L L P h OTO s : s e i i n D U sT r i e s

interview with Pierre Boivin, Partner, Mccarthy TétraultBy The Rising Africa


Canada’sTeam Spirit

(from left to right:) christian Paradis, Jean charest and Pierre Boivin

M cCarthy Tétrault is a Canadian law firm that offers a full range of services to an international clientele. In addition to his role as Partner at the firm, Pierre Boivin is a board member of the Canadian Council

on Africa and is the national Co-leader of McCarthy Tétrault’s Africa initiative. He specializes in mergers, acquisitions, private equity and negotiation of business transactions.

thE riSiNg aFriCa: Thank you for taking time out of your busy

schedule to talk about your organization and your experience

in Africa. If you’d like to take a moment or two and just give

us a little context and background, that would be really helpful.

PiErrE BoiviN: Certainly. I’m a partner at McCarthy Tétrault, which is a prominent Canadian law firm with about 600 lawyers. We have offices in Vancouver, Calgary, Toronto, Montreal, Quebec City and London, England. We have been involved in doing business in Africa for a long time in various areas, such as mining, energy and telecommunications. Almost three years ago, we decided to put even more emphasis on our practice in Africa and we created an Africa initiative within the firm to structure our activities and put more focus on our involvement. I’ve had the privilege to act as the national Co-leader of the Africa initiative with one of my col-leagues in the London office. Former Quebec Premier Jean Charest also joined our firm in early 2013 and has notably contributed his impressive African network to the services we offer.

We have been therefore accentuating our involvement in Africa at all levels. Last year, for example, I spent about four months in Africa on various matters and events. There are great opportunities for my firm but this is also true for Canadian business in general. Africa is definitely a place to be with its amazing economic growth perspectives. Also, Canada is so well respected and has such a great international reputation that we often underestimate its impact. It’s just a great international calling card.

On the legal side, we are familiar with working in both civil law and common law, which are the two principal legal systems in Africa. From a business perspective, our expertise also matches up perfectly with core development areas in Africa such as natural resources, energy, infrastructures and telecommunications. Cana-dian businesses have expertise that is recognized internationally and that enables us to be top performers in Africa.


Q&a

we’re very welcome here. we have great

staff at the embassies that

can support you, and i encourage

anybody who wants to look into this to contact the canadian council

on africa.

‘‘

‘‘

At first glance, it might sound a little intimidating to consider the perspective of doing business in Africa. But actually, we have a lot going for us. Over and above our expertise, Africans are fond of Canadians and are very welcoming. We also have great staff at the Canadian embassies that can provide valuable support. The number of Canadian companies doing business in Africa is considerable and organizations can benefit from each other’s experiences. I encourage businessmen who want to look into this opportunity to contact the Canadian Council on Africa, which is the organization that regroups Canadian com-panies that are active in Africa.

What are organizations going to face

in terms of culture, and the different

frameworks you’re entering into to work

in these countries in Africa?

Well, it’s both obviously challenging, and fascinating. Most people like to travel and to find out about new places and cultures, and it’s basically the same angle from a business perspective. First you have to do your homework, notably from a market perspective and you also need to find out about the country, its business culture and its customs. At the same time, business is business everywhere in the world, and it all starts with having a good product.

Should organizations anticipate a long

lead time to get a deal underway, or

what kind of investment they’re going

to have to make to get on the ground

and up and running?

That’s a very good question. Actually, as you might expect, from a strictly North American efficiency perspective, busi-ness dealings are a little slower in Africa. You have to provide for a little more time. What you can do in Canada with all the technology that you have at your fingertips and our North American way of doing business may be challenged at times. Jokingly, an African once men-tioned to me: “You have watches, we have time.” Generally, you have to take into consideration that African culture is very much still a culture based on build-ing relationships. Therefore, if your are considering doing business in Africa, you must be willing to invest some face time there and be willing to adapt.

Relationships.

Yes, they may at times forego what we would consider as pure efficiency to invest on relationships. There’s actually merit to that, because they attach importance to investing time in building trust in their business relationships as they consider it building on solid ground.

Would you share a little bit of perspective

on your involvement in Africa?

I should start by mentioning that my involvement implies three different roles. My principal role obviously consists of being a partner of my firm and developing business in Africa. I’m also a member of the Board of Directors of the Canadian Council on Africa, which involves volunteer work and a broader perspective.

Finally, I’m also Vice-President Africa-District for the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), which is also volunteer work. For example, at CIM we are currently working at devel-oping branches of CIM in some African countries to notably help them reach CIM objectives such as adopting state-of-the-art practices and improving safety for workers. I would conclude that my involvement in Africa has been rewarding both profession-ally and personally.

It sounds like a real pool of stakeholders

that are fundamentally working closely

together to launch into building the trade.

Absolutely, there are numerous stakehold-ers involved and when you participate, you have the impression of being part of a Team Canada. Actually, on the international scene, people help each other out and there’s definitely a team perspective approach.


The canada Pavilion at Mining indaba 2014

What would you say about your

experience down here in South Africa?

How would you sum it all up in terms of

all the different activities you’ve been

involved in, and events and introductions

and so on?

First, Mining Indaba is an outstanding event for anyone in the mining industry who wishes to get involved in Africa. From a Canadian perspective, there are numerous Canadian companies that are present as you can see from the level of activity at the Canadian Pavilion. The presence of Minister Paradis is also a highlight. The stakeholders with whom I have spoken are very pleased with their participation at Indaba.

People in some respects have to

overcome some of the stereotypes.

This is the big challenge Africa has,

just to try to empower people to not

watch CNN and judge.

You are right that there are stereotypes about Africa. There are 54 countries and

a population of over a billion and unfor-tunately some people perceive Africa as if it were a country rather than a continent. Obviously there are some countries that are going through difficult times, but on the other hand, there are a significant amount of African countries rated among the fast-est growing economies in the world. Of the 54 countries, you can easily choose which countries you wish to be involved in taking into consideration your business objectives and strengths.

I believe that over the next decades, Africa is going to be the key international investment playground. It’s actually a place to be considered for business development right now. For example, if your business evolves in a mature market and you wish to increase significantly your revenues, you should consider Africa as an option.

What are the obvious verticals or lines

of business?

As you are interviewing me at Indaba, mining is certainly an obvious attrac-

tive line of business. For Canadians, the mining industry is one of our strengths and that is applicable to the whole mining industry and the services that relate to it. Among others, the oil and gas, energy, infrastructure, telecommunications and agricultural sectors are also important areas of development in many African countries and also one where our exper-tise is internationally recognized. If you have the right product, the opportunities are endless.

The Canadian Council on Africa has

become a good partner in introducing

organizations to the market here.

Absolutely, as is the case for numerous countries in Africa. CCAfrica is the organi-zation that represents Canadian businesses that are involved in Africa. There is defi-nitely merit in teaming up with people who have the same interests as you do. There is a camaraderie that arises out of sharing expe-riences and helping one another. CCAfrica is about being part of a team. RA



Rising AfRicAthe

In the upcoming edition of

The Infrastructure Edition


RISING AFRICADECEMBER 2013, ISSUE 5

THE

THE EDUCATION EDITION

A tribute to Lucien Bradet, past President and CEO of CCAfrica

SPECIAL SECTIONNigeria Now The country today, and where it’s headed

+Africa and Canada, Partners in EducationInterviews with Dr. Keith Brown, Cape Breton University

and Paul Brennan, the Association of Canadian Community Colleges Media VisionaryPlans to grow Nigeria’s culture sector

p. 16UZOUDEMBA


CANADIAN COUNCIL ON AFRICA MEMBER:

RISING AFRICAMARCH 2014, ISSUE 6

THE

THE EXTRACTION EDITIONChristian Paradis on Canada’s competitive advantage

SPECIAL SECTION

South Africa

Mining Indaba host country is helping

to shape the African mining vision +

JEANCHAREST

BENOIT LA SALLE

NED GOODMAN


Green solutions to

Africa’s energy deficit

Windiga

Energy

&

Mining

Indaba 2014Team Canada on

the world stage

PLace YOUr aD in The new rising africa—cOMing This faLL

Canada’s only bilingual magazine about African economic development, business opportunities and success stories.• Annual global audience of over one million• Over 150 corporate members active in every sector of the African economy• Reach key business decision makers

To reserve your advertising space, contact [email protected] / 613.288.5363


We take a closer look at Africa’s growing infrastructure deficit and its effect on the nation’s productivity, social and economic development, and competitiveness in world markets:• Africa’s infrastructure funding gap is approximately

US$35 billion per year.• The largest infrastructure deficit exists in the energy

sector, which delivers only a fraction of the power service found in other developing countries.

Poor infrastructure constrains business, reducing productivity by 40 percent for many African countries.

sOUrce: www.wOrLDBanK.Org

Canadian industry is uniquely positioned to address this deficit with our expertise in energy and infrastruc-ture development—and forward-thinking companies are seizing the opportunities. Learn how these trail-blazers are forging partnerships with their African counterparts to produce innovative solutions.

SPECIAL SECTION! Spotlight on ETHIOPIA

The Infrastructure Edition

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Pull quote TK

Leadership

Create. Enhance. Sustain.aecOM leverages ethical culture, global reach to make africa, and the world, a better place By Elizabeth Bannerman

T he centrepiece of trust is treat-ing ethics as a holistic value to the organization, states AECOM Chairman and Chief

Executive Officer, John M. Dionisio, in the Q2 2012 issue of Ethisphere. Expounding on this, he says there are “three ways that the team at AECOM is going beyond the minimum to make ethics and compliance a centrepiece in our trust-building efforts.” At AECOM the approach is straightfor-ward: treat ethics and integrity as part of a holistic organizational value system; insti-tute strong governance enabled through visible leadership; and elevate the organiza-tional consciousness to act with integrity.

AECOM came to life 24 years ago, when its employees shared a dream to create an industry-leading firm dedicated to “making the world a better place.” While the com-pany was officially founded via an employee buyout from its former parent during 1990, its legacy operations have more than 100 years of distinguished experience.

Today the firm is listed on the Fortune 500

and employs approximately 45,000 talented architects, engineers, designers, planners, scientists, and management professionals globally; the company now serves public and private clients in over 150 countries world-wide. AECOM is listed on the New York Stock Exchange and annual revenues sat at US$8.1 billion as of December 31, 2013.

In an interview, AECOM executives expressed their pride in three particu-lar areas with regard to their ability to carry out projects that benefit clients and communities across Africa: a great track record with the World Bank and several other African banks; the ability to serve African clients, including those in French-speaking countries; and a strong history and presence in South Africa, which helps leverage its capabilities throughout the continent.

Furthermore, the firm has the knowledge and built-up expertise in Africa to complete projects safely and expediently, as its people understand Africa’s infrastructure needs and challenges, and work to link countries by har-

monizing technology and infrastructure with the view of growing the continent’s emerging economies toward the goal of financial inde-pendence, for which growth in Mining and Power remain essential ingredients.

To this end, AECOM’s goal is to help fulfill the need for major commodities, energy, infrastructure and environmen-tal stewardship while supporting local development. AECOM has the capability of working on a project from creation to completion and beyond.

Some of AECOM’s major projects in Africa include: a preliminary feasibility study for the development of a bauxite mine in Guinea; the detailed design of an expanded port material handling facility for an iron ore mine in Mauritania; and the rail infrastructure detailed engineering and environmental support services for the Simandou iron ore project in Guinea and Transnet in South Africa.

Also, AECOM is currently building 67 schools in Liberia, which will ensure that this country has the education infrastructure its citizens need. AECOM has also developed a rural electrification plan in Ethiopia to supply 36 villages with reliable and affordable electricity, and worked on a bankable feasi-bility site study for the Grand Inga hydro-electric site, which included the development of over 40,000 MW installed capacity in the Democratic Republic of Congo.

AECOM’s website (AECOM.com) pro-vides information on its projects, with data and photos that show how the company can seize the opportunities necessary to assist in local community development, as well as nationally, due to AECOM’s blend of global reach, local knowledge, innova-tion and technical excellence.

AECOM is able to fulfill its commit-ment to service and excellence, enabling the firm to help make Africa, and the world, a better place. RA


Boussiaba dam in algeria


Program management for the construction of 67 schools in Liberia

electrical interconnection between Kenya and Tanzania

environmental social impact assessment, Bauxite Mine, guinea

Port and rail Material handling facility, Mauritania

Port and rail Material handling facility, iron Ore Mine, Mauritania

a L L P h OTO s : a ec O M

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CorPoratE MEMBErS

AffutjobAfrican Gold GroupAfrique Expansion MagazineAAgriteam Canada Alberta Ministry of International

and Intergovernmental RelationsAnyway Solid Environmental

Solutions Ltd.Association of Canadian Community

Colleges (ACCC)Association of Universities and

Colleges of Canada (AUCC)Atlas PartenairesAviation Zenith Inc.Barrick Gold CorporationBlack Business InitiativeBlackBerry Ltd.Bombardier Inc.Broccolini Construction Inc.CANAC International Inc.Canadian and African Business

Women’s Alliance (CAABWA)Canadian Bank Note Company, Ltd.Carleton UniversityCégep de Trois-RivièresCentre de formation professionnelle

Val-d’OrCIMA+ International Inc.Consortium for International

Development in Education (CIDE)Consultation Contacts MondeCordiantCowater International Inc.CPCSCRC Sogema Inc.DAM Développement InternationalDessau Développement international

DesjardinsDundee CorporationE. T. Jackson & Associates Ltd.Ecole nationale d’administration

publiqueÉditions L’artichaut inc.Education internationaleEmerging Markets Financial Group EM-ONE Energy SolutionsExcel Employment InternationalFasken MartineauFraser Milner Casgrain LLPFreebalance GENIVARGroupe BelfontaineIAMGOLD CorporationIMW Industries Ltd.InnovisionJainji International Inc. JR International Trade

Kestrel Capital Management Corp.La Cité collégialeLussier Centre du camionM & I Heat Transfer Products Ltd.McAlister Consulting Corp. McCarthy TétraultMercy ShipsMGS Energy GroupMinistère du Développement

économique du QuébecNexen Inc.Oasis VoyagesPricewaterhouseCoopersRA InternationalRemedX Remediation Services Inc.Sama Resources Inc.SDV CanadaSEMAFOSherritt International CorporationSNC-Lavalin STRATEGEUMTFO CanadaThe Udemba GroupTronnes SurveysTruQuest Global University of OttawaWayne Dunn & AssociatesWindiga Energy Inc.

aSSoCiatE MEMBErS

Alberta International, Intergovernmental and Aboriginal Relations

Canadian Commercial CorporationDepartment of Foreign Affairs and

International Trade CanadaExport Development CanadaMinistry of Economic Development,

Innovation and Export Trade – Quebec

Natural Resources CanadaNew Brunswick Department

of Intergovernmental AffairsOntario Ministry of Economic

Development and Trade (MEDT)

aFriCaN MEMBErS

Business Club Algero-Canadien (BCAC)

Canada Business Association- GhanaEvergreen SupermarketsFédération des Chambres de

Commerce de MadagascarFédération des Entreprises du CongoMali Chamber of CommerceNigerian Economic Summit GroupRwanda Development BoardTanzania Chamber of Commerce,

Industry & Agriculture


CCAfrica Members List

With a strong presence in Africa for nearly half a century, AECOM is committed to improving the continent’s built,

natural and social environments.

www.aecom.com

CREATE. ENHANCE. SUSTAIN.

chairMan Of The BOarD | ccafrica

Benoit La SallePresiDenT anD ceO | ccafrica

Jean J. GauthierfOUnDer anD DirecTOr | ccafrica

Nola KianzaVice-PresiDenT, BUsiness DeVeLOPMenT anD MeMBer reLaTiOns | ccafrica

Chris KianzaVice-PresiDenT, aTLanTic PrOVinces | ccafrica

Gregory NazaireVice-PresiDenT, wesTern canaDa | ccafrica

Frank KenseDirecTOr Of inTernaTiOnaL DeVeLOPMenT | ccafrica

Léonie PerronPrOJecT ManageMenT | ccafrica

Camelia Bucur

CCAfricafrique

Canadian Council on AfricaConseil Canadien pour l’Afrique


CCAfrica Board of Directors

CHAIRMAN Of THE BOARD Of DIRECTORS

Benoit la Salle

President and ceO, windiga energy inc. canada

ExECUTIvE COMMITTEE

david ireland

Director, international Business Development,

canadian Bank note company, Ltd.

PRESIDENT Of GOvERNMENTAL RELATIONS COMMITTEE / ExECUTIvE COMMITTEE

Pierre Boivin

Partner, Mccarthy Tétrault

DIRECTOR

denis Belisle

chairman, Dessau

PRESIDENT AND CEO

Jean J. gauthier

President and ceO, ccafrica

DIRECTOR

denis Painchaud

Director, international governmental relations, nexen

vICE-CHAIR Of THE BOARD Of DIRECTORS

Marie-Josée Fortin

Director, association of canadian community colleges (accc)

ExECUTIvE COMMITTEE

david Baron

President and ceO, cowater international inc.

PRESIDENT Of THE ACTION PLAN COMMITTEE /

ExECUTIvE COMMITTEE

Simon lafrance

Managing Partner, sTraTegeUM

DIRECTOR

Matt Fisher

Vice-President, anyway solid environmental solutions

DIRECTOR

Michel Cote

President, crc sogema

DIRECTOR

Wayne dunn

Professor in csr, Mcgill University; Managing Director,

wayne Dunn & associates

vICE-CHAIR Of THE BOARD Of DIRECTORS / MEMBER Of

THE ACTION PLAN COMMITTEE

Peter Kieran

President, cPcs

ExECUTIvE COMMITTEE

John treleaven

Vice-chairman, Mercy ships

MEMBER Of THE ACTION PLAN COMMITTEE /

ExECUTIvE COMMITTEE

Mark Sitter

Director, corporate affairs and sustainability,

sherritt international corporation

DIRECTOR

alanna heath

Director of government affairs, Barrick gold

DIRECTOR

yvon Bernier

Vice-President, Développement international Desjardins

DIRECTOR

david gamble

Vice-President, Business Development, iMw industries

ExECUTIvE COMMITTEE / MEMBER Of THE ACTION

PLAN COMMITTEE

Michael Wyse

President, Black Business initiative

ExECUTIvE COMMITTEE

Sam Boutziouvis

VP, government relations and Multilateral institutions,

snc-Lavalin

fOUNDER AND DIRECTOR

Nola Kianza

President and ceO, Trans africa resource corp.

DIRECTOR

Charles Field-Marsham

chief executive Officer, Kestrel capital

DIRECTOR

amina gerba

President, Afrique expansion

DIRECTOR

andrew Mcalister

Mcalister consulting corp.

www.barrick.com

www.barrickresponsibility.com

www.barrickbeyondborders.com

Barrick Gold has Emergency Response Teams at our mine sites all over the world. So when disaster strikes, our people are often on the move. In just the last few years Barrick’s Emergency Response Teams have been on the ground following devastating earthquakes in Chile and Haiti, a plane crash in Papua New Guinea, and many more situations where expert help is needed quickly.

Barrick’s objective is every person going home safe and healthy every day. Trained in everything from fire fighting to first aid, our Emergency Response Teams are on standby, no matter when they might be needed.

In an emergency, we’re there to help.

The Rising Africa - The Extraction Edition

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