(Ecofin Agency) - The governor of the Bank of Tanzania Prof Florens Logan has recommended that Stamico, the State Mining Corporation, authorize Tanzania to start refining its gold to meet international standards.
This urgency was prompted after the governor visited Mwanza’s plant (Mwanza Precious Minerals Limited), which refined 47 kilograms of gold on its first day of operations on April 21, 2020. The plant can refine up to 480 kilograms of gold at 99.99% purity in a day.
“Given the production capacity of this plant, I believe that it will be able to refine all locally mined gold as well as those from neighboring countries. The final product will bear the originality mark from Tanzania, and hence promote Tanzania overseas,” said the Governer.
Mwanza’s plant, termed as state-of-the-art refineries, will enable minerals to be processed in the country; thereby restricting the exportation of raw minerals and repatriation of funds. This is in line with Tanzania’s 2017 Minerals Act, and a turning point for the mining sector that will see the country export pure gold and withstand the competition in the global market.
Tanzania is the sixth gold producer, after Ghana, South Africa, Sudan, Mali, and Burkina Faso, in Africa. As reflected in the Country Commercial Guide published two months ago by the International Trade Administration, Tanzania’s mining industry grew by 15.3% (estimated ) in the first quarter of 2020, against 10% during the first quarter of 2019. Also, the country recorded an increase in mineral revenue collection from $84.5 million in 2015-2016 to $202.7 million in 2019-2020.