Impossible move, Barrick Gold sells 16-per-cent stake in three mines to Tanzania
Barrick Gold will give Tanzania a 16 per cent stake in three gold mines, a 50 per cent share in revenues from the mines and a one-off payment of $300-million to resolve a dispute that has hit its operations in the country, the two sides said.
The Canadian miner and Tanzanian government have been in talks for months after the east African country banned the export of unprocessed minerals and enacted new laws to raise state ownership of the nation’s mines
Tanzania is Africa’s fourth-largest gold producer, and Barrick’s Acacia Mining Plc is its largest miner, with three gold mines that also produce copper.
At 1200 GMT, Acacia’s London-listed shares were up 18 per cent following news of the deal.
Barrick Chairman John Thornton told a news conference in the Tanzanian capital the deal would have to be approved by the independent shareholders and directors of Acacia Mining.
Tanzanian justice and constitutional affairs minister Palamagamba Kabudi said the agreement was in keeping with the new mining laws passed in July.
“We have also agreed to have a 50:50 share of revenues between the government and Acacia Mining from all the mines,” he added.
Apart from that BARRIC Gold mines will have to
1. build smelter in Tanzania, no need of exportation of inseparable to be smelted out,
2. Will give permanent employment to Tanzanians
3. Have permanent bord.members from Tanzania,
4. Profit sharing will be win win situation, 50% each,
5. Pay penalty of 300 million USD for avoiding tax,
The only question is on how a weak country like Tanzania can impose restrictions on Canadian company and give out good results
6.Government will have permanent representatives in BARRIC Gold mines,
7. Head quarter of BARRIC Gold mines will be in Tanzania mwanza
8. Will finance road construction from mwanza city to the mining centre,
9. All cases concerned with mining issues will be dealt in Tanzania, not outside
10. Accepted to keep
Money as deposit in Tanzania banks
This is right movement
https://www.google.com/amp/s/www.th...ines-to-tanzania/article36660622/?service=amp
Barrick Gold will give Tanzania a 16 per cent stake in three gold mines, a 50 per cent share in revenues from the mines and a one-off payment of $300-million to resolve a dispute that has hit its operations in the country, the two sides said.
The Canadian miner and Tanzanian government have been in talks for months after the east African country banned the export of unprocessed minerals and enacted new laws to raise state ownership of the nation’s mines
Tanzania is Africa’s fourth-largest gold producer, and Barrick’s Acacia Mining Plc is its largest miner, with three gold mines that also produce copper.
At 1200 GMT, Acacia’s London-listed shares were up 18 per cent following news of the deal.
Barrick Chairman John Thornton told a news conference in the Tanzanian capital the deal would have to be approved by the independent shareholders and directors of Acacia Mining.
Tanzanian justice and constitutional affairs minister Palamagamba Kabudi said the agreement was in keeping with the new mining laws passed in July.
“We have also agreed to have a 50:50 share of revenues between the government and Acacia Mining from all the mines,” he added.
Apart from that BARRIC Gold mines will have to
1. build smelter in Tanzania, no need of exportation of inseparable to be smelted out,
2. Will give permanent employment to Tanzanians
3. Have permanent bord.members from Tanzania,
4. Profit sharing will be win win situation, 50% each,
5. Pay penalty of 300 million USD for avoiding tax,
The only question is on how a weak country like Tanzania can impose restrictions on Canadian company and give out good results
6.Government will have permanent representatives in BARRIC Gold mines,
7. Head quarter of BARRIC Gold mines will be in Tanzania mwanza
8. Will finance road construction from mwanza city to the mining centre,
9. All cases concerned with mining issues will be dealt in Tanzania, not outside
10. Accepted to keep
Money as deposit in Tanzania banks
This is right movement
https://www.google.com/amp/s/www.th...ines-to-tanzania/article36660622/?service=amp