Resolute exits Tanzania

2nd November 2015 By: Megan van Wyngaardt - Creamer Media Contributing Editor Online

JOHANNESBURG (miningweekly.com) – ASX-listed gold miner Resolute Mining has executed an agreement to divest its residual interests and assets in Tanzania.

This followed the closure of Resolute’s Golden Pride mine in late 2013 and the subsequent completion of the decommissioning and rehabilitation of all (elements of) the company’s operations.

As agreed with the government of Tanzania, the mine site and all remaining infrastructure was formally handed over to sub-Saharan Africa academic centre the Madini Institute during a ceremony in December 2014 to allow for the establishment of a mining institute of learning.

The company started construction of the Golden Pride mine, the first modern gold mine in Tanzania, in November 1997 and operated the mine for 15 years, successfully producing more than 2.2-million ounces of gold.

Resolute MD and CEO John Welborn on Monday said the company’s exit from Tanzania closed a proud chapter in its history. “Golden Pride was a strong driver of value for Resolute and demonstrated the company’s ability to profit from our experience in Africa.

“Resolute leaves Tanzania with a strong legacy of community benefit, government revenue creation, economic empowerment, enduring workforce skills and transparent positive partnership.

“Having closed Golden Pride, the company now focuses on increasing its existing growth opportunities at Syama, Ravenswood and Bibiani, as well as looking for new opportunities to leverage its experience,” he added.

Resolute’s successful conclusion of operations in Tanzania was facilitated by the divestment of Resolute (Pty) Ltd – a company holding all of its subsidiaries, assets, liabilities and mineral rights in Tanzania – to Cienega S.a.r.l.