Stamigold, a subsidiary of the State Mining Corporation (STAMICO) acquired the Tulawaka Gold Mine, situated 160km southwest of Mwanza, in the western part of the Lake Victoria Goldfield, Tanzania. Both African Barrick Gold (ABG) and the Canadian company MDN Northern Mines previously possessed the property.
In accordance with the terms of the selling agreement, Stamigold started mining operations in late 2014 after paying $4.5 million in consideration and a 2% net smelter royalty on any future output exceeding 500,000 ounces. The Tulawaka property has a surface area of 317 km2 and is located in the Biharamulo district (Kagera Region) license region.
The East and West Zones were two ore deposits that made up the mine. From 2011 to the middle of 2013, the mine’s life was extended by exploration and drilling operations in the east zone.
Reported in August 2014
Tanzania’s Stamigold to celebrate its first gold production
Stamigold, a subsidiary of the State Mining Corporation (STAMICO), will celebrate its first gold production this year by importing new heavy-duty machinery.
Acting Stamigold Biharamulo Mine Manager, Mr. Dennis Ssebugwao, confirmed that the company will procure its own machinery expected to slowly out phase dependence on equipment they hire from private companies. They are yet to import new heavy-duty mining equipment worth US$ 5.5m.
The machines involved are two excavators and two dozers. Stamigold is planning to do away with hired machines in phases and is expected to complete doing away with dependency within six months to one year from now.
According to Mr. Ssebugwao, Stamigold will now be able to perform the finishing stage of producing quality gold between 85 percent and 90 percent. Still, foreign experts will be required to refine the gold further so it can attain the best price in the world market.
STAMIGOLD Company Limited engages in the prospecting, exploration, development, production, and processing of gold, it also markets gold within foreign markets.
