Dar es Salaam, Tanzania — 03 October 2013 – The government of Tanzania has announced that a uranium reserve of 175.8Mt has been confirmed so far at the country’s Mkuju River project, which will enable the treasury to collect US$363 million in corporate taxes and US$50 million in PAYE payments each year.
Acting commissioner for minerals Ally Samaje, told reporters here that the government would also earn US$190 million in royalties from commercial extraction by Australian mining company, Mantra Tanzania Limited, reports allAfrica.com.
Samaje said other benefits to the country from the project would include dividend payment, as the State Mining Corporation (STAMICO) had a stake in the project, which would also pay import duties and service levies to Namtumbo District Council where the mine was located.
Other benefits that would accrue from the project, situated in the Selous Game Reserve, would include 690 employment opportunities to Tanzanians. “However, this revenue will depend on the price of uranium in the world market,” he pointed out.
Samaje explained that in July 2012, the World Heritage Committee, under the United Nations Education, Scientific and Cultural Organisation (UNESCO), had granted permission to remove the Mkuju River project area from the world heritage list so that extraction would be possible.
“Negotiations with regard to extensive mining of uranium are underway,” he explained, adding that mining of uranium at Mkuju River will only reach the yellow cake stage before being exported, where it will be processed further.
Source: allAfrica.com. For more information, click here.