London Stock Exchange (LSE)-listed miner, African Barrick Gold (ABG) says it contributed $850 million to Tanzania’s economy in 2013.
Joseph Sheffu, Ernest & Young’s Country Managing Partner, who prepared ABG’s total economic and tax contributions report for 2013, told Uganda’s East African Business Week that about 61,784 wage employees earned $531 million labour income.
The report noted that the mining company’s entities in Tanzania altogether paid a tax of $71 million.
“Indirect and induced economic activity from ABG’s operations resulted in an estimated $60 million in taxes,” Sheffu said.
The company, which is also listed on the Dar es Salaam Stock Exchange (DSE) supported social projects in communities near its mines, with over $15 million in 2013, an amount the report stated was the highest in the Tanzanian mining industry.
Chief Executive Officer of ABG, Brad Gordon described 2013 as a year the company recorded significant achievements.
According to him, the company has produced more than seven millions ounces of gold in just over ten years of operating in Tanzania, making it one of the top five gold producers in Africa.
The company said it produced 641,931 ounces of gold from its three mines in Buzwagi, Bulyanhulu and North Mara; northwest Tanzania in 2013.
Gordon noted that the ABG’s clear strategy, solid growth opportunities and robust asset base, would help it optimise, expand and grow the business.
ABG’s shares sell at £241.50 ($411) on the LSE as at 10:27 GMT. (VENTURES AFRICA)