TOKYO (Thomson Financial) - A joint mission comprising representatives of the Japanese government and industry plans to visit Africa, possibly in September, to sign agreements on exploring for much-needed rare metals, the Nikkei newspaper reported at the weekend.
The newspaper, in a report carried on its website that did not identify any sources, said representatives of the Ministry of Economy, Trade and Industry's Agency for Natural Resources and Energy, of the Japan Oil, Gas and Metals National Corp (JOGMEC) and of major trading houses are expected to visit South Africa and Madagascar to conclude memorandums of understanding on exploration for rare metals, which are needed to manufacture digital home appliances and speciality steels.
Japan is under intense pressure to secure a stable supply of rare metals, because their prices are surging amid a boom in global demand.
South Africa has mines with ample reserves of chrome, manganese and vanadium, which are used in heat-resistant alloys and other items.
Madagascar is believed to have rich reserves of nickel and cobalt, which are used in batteries for cellphones. These metals have yet to be mined on a large scale there.
JOGMEC will conclude agreements with South Africa's geological survey organization and Madagascar's mining organization and look into what types of rare metals can be mined and in what volumes, and conduct research on how to extract metals efficiently from ores. JOGMEC will also explore for promising mines and sell development rights to Japanese companies.
The Agency for Natural Resources and Energy will conclude memorandums of understanding with the South African and Malagasy governments on the stable supply of rare metals and support exploration and mining activity in those countries.
The ministry is also considering sending representatives to visit Mozambique and other African nations.
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