Mining giant Xstrata is all set to invest $6 billion in three iron ore projects located in Mauritania. The investment of the Zug, Switzerland based mining giant will be made through Sphere Minerals Ltd. The investment will help Mauritania to produce 50 million metric tons of the steel making ingredients annually.
The Industry and Mines Minister of Mauritania, Mohamed Abdellahi Ould Oudaa, has said that the investment of the mining giant in Mauritania shows the role the country is called on to play in the global mining sector.
The Minister was also happy with the investment of the Canadian firm Kinross in a mine at Tasiast located north of the capital city of Nouakchott. This would help the country to boost its gold production as well.
The spokesperson for Xstrata said that it was far too early in the process to commit to numbers but Xstrata was committed to creating a world-class iron ore business and clearly Mauritania will play a key part in that objective.
The company statement also said that they look forward to working with the Mauritanian government and other relevant stakeholders to achieve this. The company now controls 50.1 % of the Australian company Sphere Minerals.