(Reuters) – Eramet gained more than 3% on Monday and signed one of the best gains in the SBF120 index after the junta which took power at the end of August in Gabon appointed Marcel Abeke, former director of Comilog, the group’s Gabonese subsidiary, on Saturday mining, to the post of Minister of Oil.
At 3:45 p.m., Eramet shares gained 3.95% to 72.20 euros when the SBF 120 gained 0.49% at the same time.
Marcel Abeke, who was also executive director in charge of group development in Africa for Eramet, had held the position of High Commissioner of the Republic of Gabon since March.
This appointment as Minister of Oil for Gabon, rich in hydrocarbon deposits, is “good news for the mining and oil companies present in Gabon”, said Nicolas Montel, analyst at Portzamparc BNP Paribas.
“It should strengthen Eramet’s position in the country,” he added.
Comilog, 31.3% owned by the government, is “one of the country’s main industrial and economic successes”, while its Moanda mine is the world’s leading manganese producer, notes the analyst, who says he does not not expect major changes in the country’s mining policy.
The military coup in Gabon, whose economy depends heavily on oil exports, has led to a sharp decline in the shares of oil, mining and other companies exposed to Europe.
Eramet shares fell 16.5% on August 30 after the announcement of the coup d’état in Gabon and the temporary suspension of the group’s activities in the country. The stock is still trading nearly 5% below its level before the military putsch.
(Report Olivier Sorgho, Diana Mandiá, edited by Blandine Hénault)
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