A niche for drone measurements found in the African market
Oulu-based Dronnair has set up a company in Zambia and plans to offer its services to prospectors also in other parts of Africa. Drone surveying helps geologists find ore deposits.
Ore deposits in the earth’s interior are difficult to find and take a lot of time and money to locate. The work of geologists is made easier by Oulu-based Radai Ltd’s equipment, which measure the magnetism of the bedrock.
The magnetometer developed by the company is light enough to be attached to a fixed-wing drone. To provide the measurement services by air, Radai’s entrepreneur Ari Saartenoja has established a separate company, Dronnair. “We have a well-functioning measurement concept that our customers in Finland and Sweden use. Some of them are also big international mining companies. This encouraged us to think about expanding the services to other countries,” says Saartenoja.
Africa has the most potential
According to Saartenoja, there is a lot of competition for magnetic measurements in major mining countries such as Australia and Canada. That is why he turned his attention to Africa – and Zambia as the first place.
The southern African country is one of the world’s biggest copper producers, and mining accounts for a significant share of the country’s GDP and export income. The Zambia’s ground is still estimated to have a wealth of commercially exploitable mineral deposits, including gold. “I went looking for a suitable partner in Zambia and found a local young entrepreneur who already had experience with drones.”
The third partner in Zanifi, which was set up in Zambia, was a Nigerian partner who had worked for Radai in Oulu and was thus familiar with the industry.
Finnpartnership’s financial support helped get things going
Zanifi was established in 2022 and did not require a large investment to get off the ground in Zambia. Dronnair provided flight equipment to provide basic training in flying drones. According to Saartenoja, Finnpartnership’s Business Partnership Support helped to get off to a good start. The financial grant enabled the company to train local staff and get the business off the ground.
“In our project in Zambia, Finnpartnership has provided funding for 85% of the approved project costs. For an SME of our size, this is significant. Without the support, we would have been stuck in a rut, and without the Business Partnership Support we would hardly be where we are today.”
After a quiet start, sales start to pick up
Zanifi usually carries out magnetic surveys in areas between 5 and 50 square kilometres. The area is flown over by drone at line spacings of about 50 metres. The flight distance is typically between 200 and 3000 kilometres. “For us, small measurement areas are the best. It is not worthy for a customer to order a plane from South Africa to do the magnetic field survey,” says Saartenoja.
The data from the drone measurement is analysed by Radai’s experts in Oulu. The information will help the client companies’ prospectors to identify potential targets and to target the right places in the field.
After the initial investment, Zanifi is expected to be self-sufficient in Zambia and grow with the revenue from the sale of its services. “In the early days, sales were quiet, but now within six months we have started to see a steady stream of survey requests.”
Alongside the two entrepreneurs, Zanifi currently has one employee. Dronnair’s aim is to expand the business in Zambia to include drone training and become a certified trainer. A key step in this has been to train disaster management authorities in image modelling with drones.
Promoting the benefits of drones in Africa
Saartenoja wants to proceed with caution in Africa and test the markets in different countries without taking too many financial risks. A year ago, Dronnair set up a company in Tanzania with a local entrepreneur. To start a business in the new country, the company has applied for Finnpartnership’s Business Partnership Support.
Saartenoja says the most challenging part is to build the credibility for the new company and its operating model in Africa. Dronnair has strong customer references in Europe, but in Zambia, it has sometimes been a challenge to convince customers of the benefits of drone measurements. Another challenge is the legal framework for flying drones. In Zambia, it is possible to obtain a special permit to fly without line of sight. In Tanzania, the company has sought a similar permit.
Ari Saartenoja believes that drones could be used in Africa not only for mining, but also in other sectors, such as agriculture. In Tanzania, his company has used a drone to apply pesticides to a maize field.
Saartenoja wants to use his example to raise awareness of the potential of drone solutions for different applications and to change the mindset of decision-makers. “We are making ourselves known and will be at the forefront when drones are used more and more in Africa.”
Images: Dronnair
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