Cameroon and Congo are embarking on an ambitious steel project in Kribi, aiming to generate 50 billion CFA francs in financial benefits. Led by the Bestway Finance consortium, this complex is expected to transform 15% of local iron ores while reducing iron costs on the CEMAC sub-regional market.
The Mboro Modern Steel Complex, located in Kribi, in the South of Cameroon, symbolizes a new economic dynamic for the sub-region. This project, estimated at 50 billion CFA francs for its initial phase, will be carried out by the Bestway Finance consortium through the companies Cameroon Steel and Sangha Mining. According to the promoters, Cameroon and Congo hope to generate significant revenues: 12.5 billion CFA francs for the former and almost triple that for the latter.
These benefits do not include taxes on the transit of Congolese ore through Cameroonian territory, promising additional revenues. The inauguration of the works, marked by the laying of the first stone on December 30, 2024, will be led by the Cameroonian Prime Minister, Joseph Dion Ngute.
A strategic reduction in the cost of iron
In addition to financial revenues, the complex aims to revolutionize the sub-regional iron market. With an annual production capacity of more than 3 million tons of steel, the project is expected to influence metal prices on local and Cemac markets. This revision aims to encourage infrastructure projects and reduce costly imports. The project is based on the processing of 15% of the ores extracted from the Mbalam deposits in Cameroon and Nabeba in Congo. With an estimated potential of 517 million tons, the complex will be able to process 77.5 million tons on site. The rest will be exported via the deep-water port of Kribi.
Significant socio-economic impacts
This steel complex is expected to create around 20,000 direct jobs during the production phase. Furthermore, it is part of a global strategy including two other structuring projects: a 610 km railway linking the two countries and a mineral terminal at the port of Kribi. With a total investment estimated at more than 5,000 billion CFA francs, Cameroon and Congo aim to place the Mbalam-Nabeba iron ore deposit among the top five global producers, rivaling the mines of Australia and Brazil.
The project, although complex, represents a major lever for strengthening sub-regional cooperation and accelerating the economic development of the two countries.
