A LOCAL mining company will supply gypsum, which is mined in the Erongo Region, to the Ohorongo cement plant outside Otavi, and a delivery agreement has been signed already.

Ohorongo Cement and local Elspe Minerals last week signed a supply and co-operation agreement, in terms of which Elspe Minerals, owned by the Kahl family near Omaruru, will supply high quality gypsum to Ohorongo.

"The gypsum prospect, situated in the Namib Naukluft Park, close to Swakopmund, is one of the few known gypsum sources in Namibia, which can reliably and sufficiently supply gypsum to Ohorongo," the cement company said yesterday.

"Through this agreement, as well as through a recently negotiated contract with Okorusu, to supply iron ore to the cement plant, all of the raw materials Ohorongo requires for the production of cement, are now sourced in Namibia," said its Managing Director Hans-Wilhelm Schütte in a statement.

"This makes Ohorongo Cement one of the few Namibian companies that complete the entire value chain of their product within the country, from bare limestone rock to quality cement."

Ohorongo had the option to import gypsum from South Africa.

"Ohorongo found a good partner in Elspe Minerals and we look forward to supporting this Namibian enterprise. The development of the gypsum deposit means additional employment opportunities and income for Namibians," according to the MD.

The suitability of the gypsum for Ohorongo's requirements was confirmed by conducting a thorough chemical and physical analysis. By drilling a series of shallow core holes into the soft formation, with excellent core recovery, local drilling company A. Günzel Drilling acquired the necessary samples for Ohorongo.

The core samples were sent to Germany for analysis.

Markus Schauer, Ohorongo's geologist said: "The natural gypsum deposit is of good quality with high gypsum content, and no deleterious minerals such as chlorides. What makes this source particularly special, is that, due to Namibia's geological history, not many gypsum deposits were formed."

As an essential component of cement, Ohorongo requires gypsum to retard the reaction of water and cement, resulting in the slower drying of concrete. Without gypsum, concrete would harden almost instantly and render it unworkable.

This gypsum deposit lies in the Tumas drainage within the Namib Naukluft Park, about 60 kilometres south-east of Swakopmund. Owner Iris Kahl explained that the deposit was discovered by her father, Arend von Stryk, who mapped this resource in the 1950s.

Since its discovery, only limited production has been conducted. Elspe Minerals intermittently mined gypsum for the agricultural sector and also supplied to the erstwhile Otjiwarongo cement plant.

Ohorongo Cement will start with cement production within a few months. The plant is being commissioned section by section.

It will be Africa's most modern cement plant, with the best available technology introduced for environmental, health and safety as well as quality concerns.

With a capacity of 700 000 tons of cement per annum, production of the N$2,5 billion investment exceed Namibia's current cement demand and the surplus will be exported to other African countries.