Bunge committee lauds STAMICO reforms

THE Parliamentary Standing Committee on Energy and Minerals has said that it has great expectations of the State Mining Corporation (STAMICO) to increase participation of Tanzania miners in the mineral economy.

This, the committee noted, is due to the great success that the corporation attained compared to the situation before.

The committee Chairperson, Dunstan Kitandula expressed the hope, taking into account the massive transformation STAMICO has undergo within a short period thus increasing revenue collection.

He gave the remarks over the weekend during the seminar organised by the Ministry of Minerals to run them on the operations, projects and status of STAMICO.

Despite commending STAMICO for the transformation, he instructed them to focus on investing in the strategic and critical minerals development, to increase the contribution of the mining sector in the national development.

“We are convinced with the steps and transformation of STAMICO from a state of collapsing to a promising and a vibrant one. It is our wish that you groom and support local miners to become among the biggest mining companies instead of relying on the foreign companies alone,” said Mr Kitandula.

On his part, Minister for Minerals, Dr Doto Biteko told the committee that STAMICO has registered progressing success including increased revenue collection from 1.36bn/- in 2018/19 to 38.7bn/- in 2021/22.

He said one of the ministry’s strategies is to empower small scale miners through STAMICO, so that they grow thus increasing the participation of Tanzanians in the mining industry as well as improving their economy and welfare as well.

The minister said they are well prepared to ensure that Tanzanians and the nation as a whole are benefitting from critical and strategic minerals as most parts of the land are blessed with the precious mineral reserve.

To attain the needed benefit, he said, the ministry is in the final stages to conduct a survey and research to know the critical minerals reserves that are under the land and plan accordingly for mining.

Equally, he commended STAMICO for being innovative by coming up with new projects and acting fast thus contributing to the increased productivity compared to its status four years back.

The ministry’s Permanent Secretary, Mr Kheri Mahimbali said they are working on the challenges of a long procurement system, which in most cases fails STAMICO to compete unlike their competitors in the industry.

He said the document to give a special procurement clearance to some parastatals which operate commercially has been submitted to the respective authority for approval, which will make STAMICO grow fast and meet the contract terms.

Presenting before the committee, STAMICO Managing Director, Dr Venance Mwasse said they have purchased 16-state of-the- art drilling machines as well as winning three major drilling contracts through Geita Gold Mine (GGM), Buckreef and Minerstation.

Commenting on the critical minerals, Dr Mwasse said STAMICO has acquired six new strategic minerals licences including lithium, graphite, rare earth elements and copper.

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