Monday, April 29, 2013

TPLF Generals involved in illegal Tantalum trade

April 27, 2013

ESAT News

The discovery of 2500 ons of pure Tantalum in Shakiso and Ansora Woredas, Guji Zone, Oromia Region few years ago by a governmental organization called Kentica Borena Ethiopia Mines Development Share Company, had attracted the attention of many media then.

The export of this strategic and expensive mineral had been suspended after experts of the field unstintingly complained to the late Prime Minister Meles Zenawi saying that the export by the company was hurting the country.

The government had then said the reason for putting the restriction was to establish a new mechanism of handling the mineral as the radioactive rays found in the Uranium have health risks and also to gain better profit by developing the mineral in a modern way. It was also mentioned then that the restriction would be in place until the government builds its own Tantalum Refining Plant.

Ethiopia’s tantalum production took 20% of the world market with a big influence on the world tantalum price. As the Dodd-Frank Act states that companies should make sure that they do not buy conflict minerals and as the largest exporter of tantalum in the world is the war torn country of Democratic Republic of Congo, Ethiopia’s ban had put an immense pressure on the world tantalum market.

Tantalum is a non renewable precious mineral used in mobile phones, wires, computers, televisions, chemical and pharmaceutical products, aerospace, energy and ballistic products.

According to sources working in the company, although the Ethiopian government put the ban on this precious and non- renewable mineral for the above stated reasons, military generals that are members of the Tigrean People’s Liberation Front (TPLF) conspiring with Chinese experts skilled on the extraction of tantalum, have been illegally exporting the mineral via Somaliland using vehicles of the Ethiopian Defense Forces. They have been conducting the smuggling claiming that what was in the vehicles was sand. The Generals amassed millions through this illegal export.

Vehicles of the company of the Defense Forces, which is constructing roads in the region, are being used to smuggle the mineral instead of constructing the roads, sources within the Company said.

Recently, as the government is facing severe financial shortage and following the lifting of the ban, these Generals have started exporting tantalum via Djibouti by forming a share company with a Chinese company.

“Tantalum is a strategic mineral. It is being depleted. If the country runs out of the mineral now, Ethiopia will face bigger problems in the future” the employees said.
The sources said the Generals are conducting the illegal trade in collaboration with Zone officials.
Although ESAT did not confirm, several people living near the extraction sites have died due to the radioactive rays of the mineral. Before the ban, the government sold over 80% of the tantalum in China.

Our efforts to speak to Ethiopian authorities on the issue were unsuccessful.
Backed up by evidence, ESAT had reported that Ethiopian generals own modern buildings and business companies in various parts of the Country.

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