Shanta’s expansion boosts gold output
CHUNYA: THE expansion of mining operations at the Porcupine North area has extended the life of Shanta Gold’s New Luika Mine by an additional five years, from 2029 to 2034.
The development marks a major milestone for the company, ensuring continued gold production and sustained economic contributions to the surrounding communities.
Acting General Manager of Shanta Gold’s New Luika Mine in Chunya, Engineer Ladislaus Kwesigabo said recently that after the expansion, production activities are progressing well and that the company is planning to continue with further exploration under its other licenses to ensure the mine’s longterm sustainability.
On April, this year, Minister for Minerals Anthony Mavunde launched mining operations at the Porcupine North site located in Mkola–Makongolosi Ward, Chunya District.
The area was part of retention licenses that were returned to the government following a court settlement with the previous investor. The government then conducted a transparent process to select a new operator after which Shanta Company emerged the winner.
New Luika Mine is owned by the Tanzanian company Shanta Mining Company Limited. Established in 2001, the company began mineral exploration in 2004 before starting mining in 2010 and produced its first gold in 2012.
Since then, Shanta has continued its operations, producing an average of 55,000 to 60,000 ounces of gold per year.
The mine employs 99 per cent Tanzanians, of whom 40 per cent come from surrounding communities and 60 per cent are from other parts of the country.
Moreover, 70 per cent of the companies that provide goods and services to the mine are Tanzanian, covering areas such as drilling, transportation and other support services.
“There are many opportunities to provide services to our mine. To work with Shanta, one must be legally registered and our procurement processes are transparent,” said Engineer Kwesigabo.
Regarding women’s employment, he said the mine promotes gender inclusion by hiring women in various fields, including research, engineering, machinery operation and other technical roles.
On community engagement, Engineer Kwesigabo said the mine has invested in several social programmes including health, education, water, agriculture and livelihood projects to ensure communities continue to benefit even after the mine eventually closes.
