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REGIONAL ROUNDUP - WITh REUTERS

lings in mining revenue in the 2017/2018 fiscal
year, a figure that rose to 310 billion shillings in
2018/2019. It aims to collect 470 billion shillings
in 2019/2020.
“African countries have not been benefit-
ing from their natural resource wealth, includ-
Gold reporting Tanzania awards ing minerals. Our minerals have been stolen
through smuggling or through exploitative min-
ing contracts,” Magufuli said.
plan for Zambia smelter contracts Gold exports are a key source of foreign ex-
change for Tanzania, which exported gold worth
$US1.549 billion last year, up from $US1.541
ambia plans to make copper mining com- anzania has awarded licences for the billion in 2017, central bank data shows. Tanza-
Zpanies account for the gold they produce Tconstruction of a mineral smelter and nia’s earnings from gold exports rose 42% year-
as it seeks to boost revenue from its mineral two gold refineries to Chinese firms, as part on-year to November, helped by higher prices
resources, a senior ministry of mines official of government efforts to generate more rev- and volumes shipped, the central bank said.
said. enues from the nation’s mining industry. The Bank of Tanzania said in its monthly eco-
Ministry of Mines Permanent Secretary Minerals Minister Doto Biteko said the Chi- nomic review for December that gold exports
Barnaby Mulenga told a news conference nese companies would also soon be award- rose to $US2.14 billion in the year to November
that Zambia, Africa’s second-largest cop- ed licences for mines, each of which would from $US1.51 billion in the same period in 2018.
per producer, was missing out on a lot of require investment worth more than $US100 “The increase in volume exported is partly as-
revenue because only one large mine was million. sociated with government actions to effectively
declaring its gold output. First Quantum Min- He did not name the firms or give details manage mining activities in the country,” the
erals Ltd’s Kansanshi mine, the only mine about the mining or other projects in the East bank said, without giving details on the volume
that has been declaring its gold production, African nation, Africa’s fourth-biggest gold exported. The bank said total exports rose 12%
produced 131,250oz gold last year. producer after South Africa, Ghana and Mali. year-on-year to $US9.53 billion in year ending
Mining accounts for more than 70% of President John Magufuli banned the export November.
Zambia’s foreign exchange earnings and of mineral sand in March 2017, a concentrate
other companies operating in the southern that contains silver, copper, gold and other
African nation include Barrick Gold Corp, minerals, sparking a $US300 billion tax dis-
Glencore and Vedanta Resources Ltd. Mu- pute with Acacia Mining, which already has
lenga said Zambia’s target for gold produc- mining operations in Tanzania. The Govern-
tion next year was 1.25 moz and that would ment invited bids from mining firms to build
come from primary and secondary sources, smelters and refineries, although Tanzania’s
including artisanal and small-scale miners. chamber of mines has said such projects Royalty hike
Mulenga said some mining companies would not be economic.
had not been declaring any gold production, Biteko said 37 Chinese companies had ex- on the cards
arguing that the quantities mined were very pressed interest.
insignificant and therefore sold as copper. “After carefully assessing the financial ca-
“Some mining companies have been pability and history of those companies, we adagascar plans to increase its
claiming that it is more of an impurity but gold have issued licences for the construction of Mroyalties on nickel, cobalt, precious
is precious and can’t be an impurity,” he said. two gold refineries and a smelter,” he said. metals and gemstones to 4% from 2%,
“In some cases, the gold has been hidden “We will also soon award special mining li- according to a new draft mining law.
in the copper blisters or copper cathodes. A cences to two companies to build large-scale The bill, seen by Reuters and then con-
system will be put in place to ensure that we mines whose individual investment is above firmed by Mines Minister Fidiniavo Ra-
account for that gold,” he said. $US100 million.” vokatra in a statement to reporters, also pro-
Zambia’s mining investment company He was speaking in a televised address at poses a government stake of at least 20%
ZCCM-IH would invest in exploration, min- a ceremony in Dar es Salaam at which the in any marketable mining production. Mining
ing, processing and trading in gold, its chief Kenyan authorities handed back 35kg of royalties would rise to 8% from 2% for raw
executive officer Mabvuto Chipata said at gold it intercepted after it was smuggled out precious stones. Rough industrial stones
the same briefing. ZCCM-IH had undertak- of Tanzania. The Government said it had set would fetch a 6% royalty rate while cut indus-
en initial exploration work in north-western up 28 mineral trading centres since March to trial stones would be taxed at 3%.
Zambia in collaboration with the mines min- improve revenue collection from small-scale “It is fair that royalties and rebates are in-
istry and was likely to start mining in the first miners. creasing,” Minister Ravokatra said. “This is
quarter of next year, Chipata said. ZCCM-IH “Gold worth a total of 136.7 billion Tanza- still a bill but discussions with mining opera-
had also started to set up centres for buying nian shillings [$US60 million] has been traded tors and exporters are continuing.”
gold in strategic areas with deposits as a first through the new mineral centres since March Madagascar has compared its royalty
step in a bid to formalise artisanal and small- and the Government has collected 7.7 billion rates with other countries and categorised
scale miners, he said. shillings royalty and clearance fees,” Biteko different minerals, the minister said.
Chipata said ZCCM-IH would provide said. Small-scale miners produce around 20 Democratic Republic of Congo introduced
technical expertise to artisanal miners on tpa gold a year but 90% is illegally exported, a a new mining code last year increasing the
mine planning and safety and give them parliamentary report said. royalty rate for precious metals from 2.5% to
access to earth moving machinery and pro- Magufuli said revenue collection from min- 3.5%, causing an outcry from miners operat-
cessing plants. ing had increased over the past two years af- ing there.
ter his Government tightened controls.
The Government collected 301 billion shil-

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