(Kitco News) - Tanzanian Gold (TSX: TNX) announced today that it has been granted an extension to the renewal date for the Special Mining License (SML 04/92) at the Buckreef gold project in Tanzania.

The company said it received a certificate for Renewal of Special Mining License (SML) from the Mining Commission, a division of the Ministry of Minerals of the United Republic of Tanzania.

According to a press-release, the Special Mining License renewal period for Buckreef Gold has now been extended by an additional 5 years from 2027 to 2032.

"The company, along with its joint venture partner STAMICO and the Government of the United Republic of Tanzania, is excited by the continued development and ramp-up of Tanzania's next large gold mine at Buckreef Gold," Tanzanian Gold said in a statement.

The duration of the Special Mining License covers the estimated life of mine, with specified renewals over that period. The company anticipates the life of mine will extend significantly beyond 2032, and therefore the SML will be renewed prior to the renewal date, in accordance with the requirements under the Tanzanian Mining Act.

"The company is delighted to receive this license extension and it is a testament to the significant progress being made at Buckreef Gold and the hard work by the team on the ground in Tanzania. We look forward to working together in building the next large gold mine in Tanzania," said CEO Stephen Mullowney. - Vladimir Basov, Kitco News

DAR ES SALAAM, March 10 (Xinhua) -- Tanzania's mining sector contribution to the national economy increased to 7.3 percent in 2021 from 6.5 percent recorded in 2020, an official said on Thursday.

Doto Biteko, the east African nation's Minister for Minerals, said the government's projection is to see the mining sector contributes 10 percent to the national economy by 2025 but this could be realized much earlier.

Biteko told a press conference in the capital Dodoma that the mining sector made history in the past one year when mineral sales reached 8.3 trillion Tanzanian shillings (about 3.6 billion U.S. dollars) and the government collected 597.53 billion Tanzanian shillings in taxes and royalties.

Biteko said Tanzanians' participation in the mining sector services increased from 43 percent to 63 percent when mining services collections were 579.3 million U.S. dollars.

He attributed achievements in the mining sector to reforms undertaken under the administration of President Samia Suluhu Hassan, including the improvement of mining conditions for artisanal miners who contributed to 30 percent of mining activities in the country.

Biteko said the reforms have led to the creation of at least 44 gold trading centers and 70 other minerals trading centers across the country which have helped to stop smuggling of minerals outside the country. - Xinhua

KAMPALA, UGANDA — Coffee farmer Robert Kabushenga in Uganda’s Wakiso district is among the coffee producers who are upset about the country’s decision last month to withdraw from the International Coffee Organization, or ICO.

Uganda says tariffs and other barriers restricting its coffee exports triggered the decision to withdraw from a two-year extension of ICO’s 2007 international coffee agreement.

But Kabushenga describes the decision as reckless and illegal, telling VOA it will harm Uganda coffee farmers.

“How does that affect the farmer? It means that the coffee buyer who has been buying can only buy the coffee he can sell because there he is sure he has a contract," Kabushenga said. "He’s not sure he can take it to warehouses in the International Commodities Exchange. And because of that, we could quite easily end up with surplus crop here because there’s no buyer.”

But the National Union of Coffee Agribusiness (NUCAFE), which includes some 1,500 coffee farmers, supports the government’s decision to withdraw.

Executive director Joseph Nkandu says farmers now have the opportunity to take ownership of their product and to invest and upgrade their coffee.

“The farmer has been getting far less than five percent of the retail value," Nkandu said. "Where does the 95% go? And the only way for this farmer to enhance the value that he’s getting from this coffee value chain is to upgrade.”

Uganda’s withdrawal does not mean an end to exporting coffee, according to the managing director of Uganda’s Coffee Development Authority. Emmanuel Iyamulemye says Uganda small and medium-sized enterprises can now focus on promoting their coffee in other markets.

“We are looking at specialty markets," Iyamulmye said. "We have our young youth, SME’s, which are looking at entering big markets like the United States, Japan, South Korea, Australia and of course, the Scandinavian countries and Europe.”

ICO officials say the organization has tried to resolve Uganda’s complaints but has not received a response, adding that the reasons for the withdrawal were not strong or related to the agreement.

Speaking to VOA via Zoom, ICO operations head Gerardo Patacconi says the organization is looking at the integration of the private sector and a public-private task force in a new draft coffee agreement with Uganda.

“This is a new opportunity," Patacconi said. "And this opportunity, to me, is unique and I guess that’s why it’s supported by donors, it’s supported by the industry. So, Uganda is a leading producer of coffee. It’s so sad it doesn’t see that as an opportunity. And whatever concerns should be discussed within. This is a coffee diplomacy.”

Uganda is currently Africa's leading exporter of Robusta coffee, exporting 6.1 million bags annually. - Halima Athumani, Voice of America