Navachab Gold Mine (Navachab) has announced a substantial investment of N$2.1 billion in procurement, with a strong focus on local suppliers and infrastructure development.
The prominent player in the Namibian mining industry’s CEO, George Botshiwe, emphasised the mine’s dedication to supporting local businesses and communities, as N$1.72 billion of Navachab’s procurement spent for 2022 was directed toward local suppliers.
He further revealed that an additional N$53 million per year was allocated for direct local procurement in the Erongo region.
Similarly, N$222 million was allocated to historically disadvantaged enterprises, aiming to empower local businesses and individuals.
This comes as one of the most significant projects on Navachab’s agenda is the construction of the ARGO plant at a cost of N$900 million.
The CEO noted that the endeavour has created approximately 300 jobs during the construction phase, with 45% of the project’s cost allocated to local procurement.
“Local businesses, including K Neumeyor, ADP Namibia, Dunelec, Namibia Construction, and Kraatz Marine, have received substantial contracts to support the ARGO plant construction, with a combined value of N$366 million,” he said during a Parliamentary Committee meeting recently.
Navachab Gold Mine has also taken steps to strengthen its in-house capabilities. The company has brought blast hole drilling in house, entirely relying on local contractors. The CEO said the strategic move is expected to enhance operational efficiency and reduce costs.
Furthermore, the mine has invested N$565 million in new mining equipment, along with a trial underground project amounting to N$200 million.
“Navachab has created 387 new jobs, with an additional 70 jobs expected to be added over the next five months,” Botshiwe said, highlighting the mine’s commitment to human resource development in the region.
Furthermore, the mine has allocated N$83 million for a power upgrade to enhance its production and ore processing capabilities.
In terms of ore processing, Navachab operates a conventional CIP plant, a pre-concentrator plant (PCP), ARGO, and a Swiss Vertical Tower Mill. These processing facilities, commissioned in the first quarter of 2023, have expanded the milling capacity from 1.7mtpa to approximately 2.7mtpa.