gold
LSE-listed Acacia Mining has received Notices of Arbitration on behalf of Bulyanhulu gold mine and Pangea Minerals, the owner of the Buzwagi mine.

These notices refer the current disputes between the Government of Tanzania and Bulyanhulu gold mine as well as Pangea Minerals to arbitration.

This is in accordance with the dispute resolution processes agreed by the Government of Tanzania in their Mineral Development Agreements with Bulyanhulu gold mine and Pangea Minerals.

The serving of the notices at this time is necessary to protect the Acacia Mining, but, this notwithstanding, Acacia Mining remains of the view that a negotiated resolution is the preferable outcome to the current disputes and the company will continue to work to achieve this.

The Government of Tanzania has informed Barrick Gold that at this stage it wishes to continue their dialogue, and therefore Acacia Mining will not participate directly in these discussions when they commence.

Any potential resolution that might be identified as a result of such discussions will be subject to approval by Acacia Mining, and the company will work with Barrick Gold as necessary to support such discussions.

All three of Acacia Mining’s mines are continuing to operate in line with previous announcements, and we will provide an update on developments, including the proposed mining legislation, once the legislative process is complete.

Late last month Acacia Mining reviewed the proposed legislation governing mining in Tanzania

In addition, parliament has approved the new Finance Act, which will impose a 1% clearing fee on the value of all minerals exported from the country from the 1st July 2017.