East Africa-focused gold producer, developer and explorer Shanta Gold (AIM: SHG) released an update on the construction progress at the Singida Gold Project in central Tanzania, highlighting that the overall construction activity at the project is 93% complete.
Eric Zurrin, Chief Executive Officer, commented: “We are delighted with the great progress being made at Singida, with construction on schedule for first production next month. The completion of this mine will transform Shanta Gold into a 100,000 oz/pa producer with a diversified resource base, de-risking the balance sheet and providing the business with further financial flexibility.”
For his part, Tanzania’s Minister of Minerals Dr. Doto Biteko congratulated the Company for completing the construction of the mine and said that his ministry has a great responsibility to protect and encourage the presence of investors in the country.
For this, he promised to continue to create a better environment for investors with the aim of increasing the productivity of mineral production in the country and promoting the National GDP with mining operations.
Earlier, the Executive Director of Shanta Mining Honest Mrema said that the Shanta-Singida mine will employ more than 220 direct workers and 150 short-term workers.
He also stressed that the company has invested more than 42 million US dollars in the mine whose life is expected to reach 2028.
Mrema also said that Shanta has distributed clean water in the villages surrounding the mine as one of the ways to contribute to the local communities.
Tanzania’s gold reserves are estimated at about 45 million ounces and Tanzania’s gold production in Tanzania stands at around 50t per year.
Shanta Gold’s other mine in Tanzania, the New Luika Gold Mine, is currently the 4th largest mine in the country with gold production of 65,209 ounces in 2022, up 18% from 2021.