From Juba, the capital of South Sudan, CEOAFRICA.com gathered that Peoples Republic of China has pledged a grant of $43 million to finance improvements in mining industry, with the funds expected to arrive by the end of September.

Speaking to confirm this, the country’s Petroleum and Mining Minister Stephen Dhieu Dau explained that the Chinese grant will be used to harness South Sudan’s mining riches.

According to Geological survey conducted in the 1970s and 80s, South Sudan may have deposits of gold, copper and uranium, but since then, the mineral resources have not been explored.

However, with South Sudan’s Parliament passage of a mining law in March, international firms were allowed to receive five-year exploration permits. The first step toward getting the permit is a geological survey which would indicate where a company should dig.

Also, the country is in talk with China about a development loan of $1 billion to $2 billion, and about further Chinese investments in South Sudan’s petroleum and mining industries.

Meanwhile, Chinese Ambassador to South Sudan Ma Qiang said he is encouraging Beijing to step up investment in Africa’s and the world’s newest nation, where a report dated August 2011 by US advisory group Ergo says Chinese companies already control the oil industry, the source of most of South Sudan’s revenues and the target of the vast majority of foreign direct investment in South Sudan.