latest News

Home News Africa Indian firm to invest US$50m in Tanzania gold project

Indian firm to invest US$50m in Tanzania gold project

The National Mineral Development Corporation (NMDC), an Indian state-owned mineral producer, will invest US$50m in developing its Bulyang’Ombe mining Tanzania gold project.

This comes nearly 18 months after the Indian firm submitted the feasibility report. NMDC has devised a short-term strategy, which includes a small-scale mining and setting up of a minor processing plant for the gold project. The project is estimated to have gold deposits of 4 tons and NMDC intends to develop the project through a Mine Development cum Operator (MDO).

Tanzania’s Ministry of Energy and Minerals had granted NMDC 4 mining leases for the 38.83 sq km Bulyang’Ombe gold prospect in 2012 for 10 years.

NMDC, which is India’s largest iron ore miner, had carried out gold exploration in the southern region of Lake Victoria, north-western part of Tanzania, during 2000 to 2003 and delineated promising targets in Siga Hill area (Kahama district) and Bulyang’Ombe area (Nzega district).
The Bulyang’Ombe mine is estimated to have large amount of gold. The deposits had a prospect for good concentration where gold values, although erratic, showed a maximum of 7.2 gm per ton (g/t), which is close to the top quality standard of 8 to 10g/t set by the World Gold Council. The plant to be developed would be able to process 100 tons per hour of gold bearing ores.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Do NOT follow this link or you will be banned from the site!