Published: June 1, 2020 |

[Click image to enlarge]

Barrick Gold’s Tanzania subsidiary Twiga Minerals has made $100 million initial payment to Tanzanian Government, following the sale of first shipments of gold concentrate from the African country.

The firm resumed exports of gold concentrate from Tanzania, upon securing clearance from the government.

The company’s exports were halted previously by the government due to the dispute over taxes that involved Acacia Mining, which was acquired by Barrick in September last year in a $1.2 billion buy-out deal.

Acacia was ordered by the Government of Tanzania in 2017 to settle a tax bill of $190 billion.

However, Barrick Gold agreed to pay $300 million to the Tanzanian government in October 2019 to settle all disputes pertaining between the country and the mining companies that were previously operated by Acacia Mining.

In April 2020, Barrick has resumed the shipment of some 1,600 containers of concentrate from the Bulyanhulu and Buzwagi mines in Tanzania.

The first $100 million received from the sale of the shipment had been paid to the Tanzania government, as part of the $300 million-deal.

Barrick Gold now plans to make five annual payments of $40 million each to the government.

In a press statement, Barrick said: “At the same time, some 90 percent of the outstanding land claims at North Mara have been settled with payment scheduled to start today.

“Contrary to the past, where these claims were handled by the mine, the compensation process is being overseen by a committee representing Twiga, the government, the local authorities and the affected communities.

“This will ensure that the process is transparent and that issues are dealt with fairly and promptly.”

Twiga Minerals is a joint venture between Barrick Gold and the Tanzanian government.

Source:  NS Energy

To stop by Barrick’s website, CLICK HERE

Be in-the-know when you’re on-the-go!