The piece “Nedbank Malawi flies corporate customer to international mining indaba” featured below was initially published in Malawi’s Mining & Trade Review Issue Number 35 that is circulating this March 2016.
The full edition is available for download here. This monthly publication is edited by Marcel Chimwala.
Nedbank flies corporate customer to international mining indaba
- We are going big with the bank – Shayona
As a symbol of appreciation to its big corporate customers, Nedbank Malawi last month flew Shayona Cement Corporation to the annual Mining Indaba in Cape Town, South Africa.
Shayona’s Operations Manager Prajeesh Padmanabhan, who made the trip to the rainbow nation on behalf of his company, said the trip enabled him to network with other top mining executives from across the globe who attended the event.
It was the first time for Shayona to participate at the Mining Indaba and it was really one of my best experiences as a manager for Shayona.
As a company, Shayona has accrued a number of benefits from the trip. For instance, I was able to meet international mining consultants and suppliers who can help in advancing our business and as of now we have quotations from some of them.
Padmanabhan explained that through the trip and Nedbank’s strong showing at such an international forum, he learnt that the bank is big hence has the capacity to provide financing to mega projects.
We have just started banking with Nedbank but we are already going big with the bank. Our plan is to consolidate this relationship by transacting more with the bank,
Padmanabhan said at the Indaba, he was also able to discuss with fellow business executives on the possibility of expanding Shayona’s operations to other countries.
Shayona, which produces Akshar, Tanthwe and Buildplast cement brands, is currently the largest and fastest growing cement manufacturing company in Malawi.
We never tried to look for export markets at the Indaba because the demand on the Malawi market is high enough to absorb our envisaged increase in production so we only tried to explore prospects of extending our investment to other countries in the region,
Padmanabhan explained that, among other opportunities, Shayona Cement Corporation is mulling plans to set up another cement plant in Mozambique capable of producing 3,000 tonnes of cement per day.
Shayona currently produces 650 tonnes of cement per day and is expected to up its production to 1200 tonnes per day catering for 80% of the Malawi market once the rotary kiln plant currently under construction at the Kasungu factory is commissioned.
The company has steady supply of limestone, which is a major raw material for cement production from its Livwezi and Chikowa deposits, located close to the Kasungu factory.
The massive expansion plans we are pursuing show that we are an ambitious firm so we expect our relationship with an ambitious and caring bank like Nedbank to take us to further heights,
On his part, Nedbank Head of Wholesale Sales, Issa Edward, advised that Nedbank is committed to supporting the private sector and hosting Shayona Cement is a true testament.
As you might recall, last year we sponsored Government officials to attend the 2015 Mining Indaba which is Africa’s largest mining and investment conference. Sponsoring Shayona this year is therefore in line with our continued efforts and commitment towards supporting and promoting the mining industry by contributing positively to the existing initiatives aimed at building and growing the mining sector in Malawi. At Nedbank, much as we are committed to support Government in luring in more investors, we also recognize the fact that there are some key local players like Shayona who are already making a huge mark and contributing positively to the mining sector. We are therefore glad to hear that through our sponsorship, Shayona has been exposed to the global network from which they have already started tapping in expertise that will help in improving their efficiencies as they seek to attain their growth needs. As a Bank that believes in Making Things Happen, we would like to continue to play our role in supporting the growth of Shayona and the private sector in general
The Mining Indaba of which Nedbank is a key sponsor, is an annual conference dedicated to the capitalization and development of mining interests in Africa. It was established 21 years ago and is represented by 110 countries and territories across six continents. It is also attended by 7,000 + of the most internationally-diversified and influential professionals in African mining, 35 African and Non-African Government delegations and 2,300 international companies. Through this conference, billions of USD in foreign investment have been channelled into the African mining value chain throughout the last 20 years of the annual Mining Indaba held in Cape Town, South Africa. The positive collaboration amongst the organizers, the South African and many other African governments, and Mining Indaba’s partners have led to this success
The Malawi delegation that was sponsored by Nedbank Malawi was hosted at the Nedbank pavilion where they were able to book meetings to link up with relevant prospects.
Nedbank Group through its investment arm, Corporate and Investment Banking unit; is one of the major players when it comes to backing key mining projects across Africa. Some of the landmark deals that the bank has successfully pursued on the continent include: Aureus Mining’s Liberty Gold project in Liberia where Nedbank together with RMB, provided $100-million worth of debt financing; $150-million to First Quantum Minerals, which mines copper in Zambia; $25-million debt package for the development of Gem’s Ghaghoo diamond mine which is Botswana’s first underground diamond mine, plus many more numerous deals. In Malawi, Nedbank was one of the Banks that financed the Kayelekera mine.