Wuhan Iron & Steel Co (WISCO) intends to begin exploratory drilling for iron ore in Madagascar’s Soalala region by the end of May 2011. WISCO Madagascar, one of several firms eager to develop the Indian Ocean Island’s mineral resources, paid USD 100 million for exploration permits in 2010. The construction phase will last four years and the actual operation should commence in five years. As the project begins, environmental assessment studies will proceed; an environmental permit will be issued once studies have concluded at a cost of USD 350,000 to the company. Madagascar contains oil, nickel, cobalt, gold and uranium deposits.
