Buzwagi gold mine
under construction
 
London, England — MININGREVIEW.COM — 23 June 2010 – African Barrick Gold (ABG) “’ which has four producing gold mines in northwest Tanzania “’ says its production this year is likely to end up at the low end of its target, after a slow ramp up at its new Buzwagi mine.

“The way our expectations are over the year, we should be hitting about 800 000 ounces for 2010. It’s probably a little bit more back-ended than front-ended,” CEO Greg Hawkins told Reuters here in an interview.

“I wouldn’t have thought our expectations were to get to the top,” he said when asked whether the firm was likely to hit the top of its target range of 800 000 to 850 000 ounces. Later, a spokesman said that the official guidance had not changed.

“Cost pressures are re-emerging and ABG will be happy if it is able to hold cash costs over the next couple of years within the US$450 to US$500 an ounce target set for 2010,” Hawkins added on the sidelines of the RBC African Gold conference in London.

He went on to say that the company had an appetite for acquisitions, adding that its first steps outside Tanzania would be very carefully taken.

“ABG “’which is listed on the London Stock Exchange “’ hopes to list in Dar Es Salaam, Tanzania, by the end of the year,” Hawkins added.