Massive uranium find – at Mkuju River

The government has announced that 175.8 million tons of uranium reserves have been confirmed so far at Mkuju River, whose extraction will enable the Treasury to collect 363 million US dollars in corporate taxes and 50 million dollars in Pay As You Earn (PAYE).

The Acting Commissioner for Minerals, Eng. Ally Samaje, told reporters in Dar es Salaam yesterday that the government will also earn 190 million dollars in royalties from commercial extraction by Australian mining company, Mantra Tanzania Limited.

Eng. Samaje said other benefits to the country from the project will include dividend payment, as the State Mining Corporation (STAMICO) has a stake in the project, which will also pay import duties and service levies to Namtumbo District Council where the mine is located.

Other benefits that will accrue from the project, situated in the Selous Game Reserve, will include the availability of 690 employment opportunities to Tanzanians. "However, this revenue will depend on the price of uranium in the world market.

We would also like to inform the general public that claims that extraction of uranium causes lung cancer and children born without limbs are not true since the mineral will only be processed to the Yellow Cake stage," he explained.

Eng. Samaje explained that in July 2012, the World Heritage Committee under the United Nations Education, Scientific and Cultural Organisation (UNESCO) granted permission to remove the Mkuju River project area from the world heritage list so that extraction can be possible.

Following the decision, the Environmental Impact Assessment Certificate has already been issued by the National Environment Management Council (NEMC) and already the Ministry of Energy and Minerals has issued a licence that allows for extraction of uranium to take place.

"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: Daily News, reported by Rose Athumani from Dar es Salaam, Tanzania
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