21 February 2013

Sudan Expects to Increase Gold Production to 150 Tonnes, Worth U.S. $8 Billion

Khartoum — The Sudanese minister of minerals Kamal Abdel-Latif said today that he expects the country's gold production to jump to 150 tonnes thus generating $8 billion in revenues.

Abdel-Latif made the remarks during the inauguration of the Qbgbih gold mine in the Nile River state that is a joint venture between Sudan and the Moroccan Managem mining company. This event was attended by president Omer Hassan al-Bashir and the ambassador of Morocco in Khartoum Mohamed Ma'al einen.

The government eyes gold output of around 50 tonnes in 2013, worth around $2.5 billion, which would potentially make it Africa's third largest gold miner behind South Africa and Ghana, and push it into the top 15 producers globally.

Abdel-Latif disclosed that the proven gold reserves in Qbgbih field are close to 66 tonnes adding that the government is working on a comprehensive survey to detect potential spots of mineral wealth throughout the country.

This survey would target an area of one million square kilometers through partnerships with foreign companies.

The Sudanese official said that they established a $70 million mining center while expanding the work of Ariab Mining Company by injecting $90 million.

He added that 13 out of 19 companies have entered the production phase while 40 others saw their licenses revoked "for lacking seriousness".

The East African country is looking for gold to make up for the budget deficit it incurred as a result of losing three quarters of its oil production due to the secession of South Sudan in July 2011.

In recent years a growing number of foreign gold companies have expressed interest in obtaining licenses to operate in Sudan.

Ads by Google

Copyright © 2013 Sudan Tribune. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 2,000 reports a day from more than 130 news organizations and over 200 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.