HomeEast AfricaAfrican Barrick may list on JSE

African Barrick may list on JSE

Bulyanhulu “’ one
of Barrick’s four
gold mines in Tanzania
Denver, United States — MININGREVIEW.COM — 23 September 2010 – African Barrick Gold (ABG) may list on the Johannesburg Stock Exchange (JSE), as it prepares to expand in Africa beyond its existing mining operations located wholly in Tanzania.

Interviewed on the sidelines of the Denver Gold Forum here, African Barrick CEO Greg Hawkins told Miningmx, “a JSE listing is on the radar screen, but our priority for the next year is to list ABG on the Dar es Salaam stock exchange in line with undertakings given to the Tanzanian government.”

ABG is currently listed only the London Stock Exchange. It operates four mines in Tanzania which produced 716 000oz of gold in 2009 at an average cash operating cost of US$533/oz.

That makes ABG the fifth largest gold producer in Africa, and the group controls reserves and resources totalling some 26Moz of gold.

The company was created in March this year when parent Canadian heavyweight Barrick Gold spun out its African gold mining operations separately through an initial public offering in London.

The group’s headquarters are in London but its operational hub is in Johannesburg where most of its top management are based. Hawkins commented: “We are an African mining company and Johannesburg is an excellent base from which to operate into Tanzania, as well as the other parts of the continent we are now looking at in terms of possible expansions through mergers and acquisitions.

“We have already had a couple of preliminary discussions with the JSE, as well as with potential investors in South Africa, and it seems there is keen interest from South African investors in our group,” he said. “Our initial target is to reach a production level of 1m oz/year of gold by 2014.”

Hawkins told Miningmx that ABG’s focus looking for possible new projects outside Tanzania so far was on West Africa and the Nubian Shield region, which includes countries such as Eritrea.