Nigerian drone manufacturing startup, Terrahaptix, has signed a pivotal deal with DiggingDeep, marking its entry into South Africa’s mining sector. This partnership will see Terrahaptix’s drones exclusively distributed to South African mining companies for site surveys, equipment inspection, and hazardous area monitoring.
Speaking on the development, founder Nathan Nwachukwu revealed that the mining industry represents the company’s largest customer base. He explained, “The mining industry is where we have the most customers.”
The drones’ capabilities extend beyond mapping and safety inspections. They assist in identifying hard-to-reach mineral deposits, monitoring environmental impacts like air and water quality, and providing crucial real-time data. These applications rapidly transform mining operations, making drones indispensable in the sector.
According to Mining Technology, the global adoption of drones in mining surged from 44% in 2018 to 65% today. The market for mining-specific drones is valued at $31.4 billion and is projected to hit $103 billion by 2031.
Driving Innovation in Africa
South Africa becomes the fifth African market for Terrahaptix, following Congo, Ghana, Kenya, Côte d’Ivoire, and its home base, Nigeria. Interestingly, over 75% of the company’s revenue comes from international sales.
The startup surpassed its first-year revenue target of $1.6 million, recording over $2 million in sales. Nwachukwu believes this milestone validates Terrahaptix’s position as a leader in drone manufacturing on the continent. He noted, “This is going to help us solidify our position as a drone leader on the continent.”
With an eye on dominating critical sectors such as mining and oil, the company is also exploring opportunities for major exports outside Africa.
A Competitive Edge
While Terrahaptix faces competition from South African drone companies like Aerobotics and DroneSnap, its affordability gives it a significant advantage. By sourcing 80% of its materials locally, The rise in demand for Terrahaptix drones coincides with a “mining renaissance” in Africa, driven by the increasing adoption of electric vehicles (EVs). Lithium, a crucial component in EV batteries, has seen an 80% rise in production between 2021 and 2023.
Terrahaptix keeps production costs low, offering over 50% cheaper than competitors. Sensors and cameras are primarily sourced from China, enabling the company to maintain high-quality products at competitive rates.
As the global EV market matures, Terrahaptix is strategically positioned to capture a significant share of the drone market catering to mining operations, despite stiff competition from global manufacturers.
Future Prospects
With innovation and affordability at its core, Terrahaptix is poised to revolutionise drone technology in Africa. Its latest move into South Africa expands its footprint and solidifies its ambitions of becoming a key player in sectors critical to Africa’s economic growth.
