The mineral sector in Tanzania includes both small–scale operations and large-scale mechanised mining dominated by nine major mines: seven for gold and one each for diamonds and tanzanite. In 2012 gold accounted for 94% of the value of Tanzania’s mineral exports (Source: EITI Report 2011/12). Tanzanian soil also contains iron ore, base metals, uranium and gemstones.
The Mineral Policy of 2009 aims to strengthen links between the mineral sector and other sectors of the economy, improve the investment climate and maximise benefits from mining. To implement the Mineral Policy, a new Mining Act was enacted in 2010, repealing the previous law dating from 1998 (Source: EITI Report 2010/11).
The past few years have seen a big increase in exploration for gas and oil along the coast. Estimates for gas reserves look promising for commercial production and export. So far, no crude oil discovery has been made though indicators from drillings and seismic data show that there might be potential reserves.
Tanzania published their 4th EITI Report covering 2011/12 on Monday 30 June 2014. According to the Report, government revenue from extractives increased 40% to US $ 468 million. Corporation tax payments increased the most. A hike in gold prices and production explains part of the revenue growth. The largest tax payer was Geita Gold Mining Ltd, whose payments represented 28% of total extractives revenue. Mining companies contributed 80% of revenue.
Tanzania is taking part in a beneficial ownership pilot project.
The first Tanzania Validation report was received on 14 May 2011. The EITI Board declared that Tanzania had made meaningful progress, but did not yet meet all requirements. Tanzania was declared compliant on 12 December 2012 after a Secretariat review.
- an overview of the extractive industries, their macroeconomic significance and future prospects;
- the first layer of company shareholders;
- a description of the fiscal regime and licensing;
- an introduction to exploratory activities and estimated reserves;
- local taxes and social contributions.