FACTBOX-Tanzania's mining, oil and gas industries

DAR ES SALAAM Fri Oct 22, 2010 8:19am EDT

Related Topics

DAR ES SALAAM Oct 22 (Reuters) - Here are the main facts about Tanzania's mining, oil and gas industries. [ID:nLDE69L0P2]

MINING

* Tanzania is Africa's third largest gold producer after Ghana and South Africa.

* In April, Tanzania's parliament passed a new mining law that increases the rate of royalty paid on minerals like gold to 4 percent from 3 percent.

* The Mining Act 2010 also requires the government to own a stake in future mining projects and all mining companies to list on the Dar es Salaam Stock Exchange.

* There are reserves of uranium, nickel, coal, iron and diamonds.

* Earnings from gold exports jumped by 62 percent in the year to July 2010 to $1.36 billion, while volume rose by 31 percent to 38.1 tonnes, according to the central bank.

* Big mining firms in Tanzania include Canada's Barrick Gold Corp AB.TO and South Africa's AngloGold Ashanti (ANGJ.J), the world's No. 3 gold miner.[ID:nLDE69D084] [ID:nLDE69E083]

* Tanzania is the only place in the world that produces the gemstone tanzanite, from the region around Mount Kilimanjaro.

* Tanzania's government said last year the country had at least at least 53.9 million pounds of uranium oxide deposits and expects to start mining some of that by 2011.

* In May, French energy group Areva CEPFi.PA said it was interested in developing Tanzania's uranium deposits.

* African Eagle Resources Plc (AFE.L) (AEAJ.J) has the Dutwa nickel project, which has a nickel resource of about 845,000 tonnes.

EXPLORATION FOR OIL AND GAS

* Tanzania has 17 companies exploring for oil and and gas on and offshore.

* Tanzania said in September its fourth deep offshore bidding round will be launched in the United States around April next year. The bidding round will include 13 deep offshore blocks located around 1,200 and 3,000 metres below.

* Among the firms that hold exploration blocks in Tanzania are Canada's Artumas Group Inc (AGI) AGIC.OL, France's Maurel & Prom (MAUP.PA) and Norway's StatoilHydro ASA and Shell International (RDSa.L).

* Tanzania has made natural gas discoveries in four locations. Two of them -- Songo Songo off its eastern coast and Mnazi Bay in southeast Tanzania -- are in production.

* Oslo-listed Artumas Group Inc, which has the Mnazi Bay licence, estimates the gas potential at 3 trillion cubic feet.

* Utility Songas runs Songo Songo through operator PanAfrican Energy, a subsidiary of Canada's Orca Exploration (ORCb.V). It supplies the gas to 35 industrial customers and also generates some 190 MW at its power plant in Dar es Salaam. (Reporting by George Obulutsa, Editing by James Macharia)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.