RE: RE: Response of the companyam surprised there has been little discussion on uncertainty of mining in Tanzania right now (forget about CAN for a second as agree with previous writers that the recent unfavourable stock performance is not warranted to this extent - at least with what has been made public to date). Noticed Tanzanian Royalty Exploration has also been hit hard. could this be something across the board on company's in Tanzania (see article below)
press release
Nov. 15, 2011, 8:16 a.m. EST
Restructuring of Tanzania's Mining Sector May Crimp Margins for Tanzanian Royalty and Great Basin Gold
The Bedford Report Provides Equity Research on Tanzanian Royalty Exploration & Great Basin Gold
NEW YORK, NY, Nov 15, 2011 (MARKETWIRE via COMTEX) -- Tanzania has become a mining hotbed in recent years. Gold exports from Tanzania climbed to $1.7 billion in the year through June from $1.5 billion, a year earlier, the central bank said in a report recently. Recent reports that the Tanzanian government seeks to restructure the mining sector has taken some wind out of the industry's sail. Tanzania has already announced plans to raise royalty payments on exports of gold by the end of this year. The Bedford Report examines investing opportunities in the precious metals sector and provides stock research on Tanzanian Royalty Exploration Corporation /quotes/zigman/36083/quotes/nls/trxTRX+1.64%/quotes/zigman/8322CA:TNX+0.79%and Great Basin Gold, Ltd. /quotes/zigman/19212/quotes/nls/gbgGBG+0.84%/quotes/zigman/19225CA:GBG-6.87%. Access to the full company reports can be found at:
www.bedfordreport.com/TRX
www.bedfordreport.com/GBG
Bloomberg recently reported that the Tanzanian government may abolish a tax refund for mining companies as a way to generate more revenue from the industry. Tax policy in the country gives a refund on fuel used to generate electricity to power mines. Ally Samaje, acting commissioner of minerals, said the government plans to begin talks with companies about halting the practice.
The Tanzania Chamber of Minerals and Energy (TCME) says that Tanzania's mining industry consumes about 3.57 million gallons of fuel per month, while gold mining companies estimate gasoline accounts for 30 percent of their operating costs.
The Bedford Report releases equity research on the gold industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at www.bedfordreport.com and get exclusive access to our numerous analyst reports and industry newsletters.
Tanzanian Royalty Exploration Corporation is a mineral resource company with exploration stage properties. The Company's general area of interest has been in the exploration of gold properties, with a focus on exploring for gold properties in Tanzania. Last month the company signed a joint venture agreement with the Tanzanian government to develop a $280 million gold mine in the east African country.
Great Basin Gold Ltd. (Great Basin) is a mining company engaged in the acquisition, exploration and development of precious metal deposits. The company hold interests in early stage mineral prospects known as the Tsetsera Property in Mozambique and properties in Tanzania and Iturup.
The Bedford Report provides Market Research focused on equities that offer growth opportunities, value, and strong potential return. We strive to provide the most up-to-date market activities. We constantly create research reports and newsletters for our members. The Bedford Report has not been compensated by any of the above-mentioned companies. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at: https://www.bedfordreport.com/disclaimer.php .
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SOURCE: The Bedford Report