Gold major Barrick is leveraging its $4.25-billion investment into the Tanzania-based Twiga Minerals Corporation – a joint venture (JV) between it and the Tanzanian government – to further progress the gold mining industry in Tanzania, says Barrick CEO Mark Bristow.

Twiga, which consists of Barrick’s 2019-acquired North Mara and Bulyanhulu mines, is part of the company’s continued investment in Tier-1-level gold extraction and production, with Barrick aiming to improve the gold production capacity resulting from the JV for Tanzania for at least the next 15 years.

In 2024, North Mara received recognition for being the largest contributor to the economy in Tanzania’s extractives industry.

In this vein, Barrick paid taxes, royalties and levies to the government of Tanzania totalling $1.37-billion for the period between the third quarter of 2019 and 2024.

In terms of ensuring it has a strong social licence to operate in the country, he says Barrick has also worked diligently to restore and rebuild the relationship with the local community, including closure of all critical legacy grievances, establishment of community development committees and the undertaking of a review of the relationship with the local police to establish clear boundaries.

Barrick has also established a proper grievance resolution mechanism to reduce and close outstanding grievances it inherited from Acacia, closed legacy land claims and advanced training on voluntary principles on security and human rights.

In this regard, Bristow points out that not a single grievance associated with a human rights violation has been received since 2019.

Further, he says Barrick has also transformed the previously “moribund mines into world-class assets”, now recognised by the Tanzania Revenue Authority as the largest taxpayer in Tanzania, while the Ministry of Minerals has named Barrick’s operations as one of the best performers in using local content.

Moreover, the Association of Tanzania Employers named Barrick the best employer of the year in Tanzania for 2023.

In terms of local content, Barrick has “deliberately” invested in programmes to transform and develop national-registered suppliers and service providers through yearly business development training, which has accommodated at least 150 enterprises every year for the past three years.

This means 83% of total local spend goes to Tanzania-registered companies, of which 75% are indigenous companies – a metric that has grown substantially, from 34% in 2019 when Barrick assumed operational control.

At the end of December 2024, he says 603 indigenous companies were providing services and goods.

Tanzania Expansion

Seeing Tanzania as a region in which to expand and grow investment, Bristow says greenfield land acquisitions in Tanzania have been undertaken by Barrick to expand the life of its existing in-country mines and grow the miner’s production profile.

“Barrick is also conducting extensive exploration in new areas, in search of another Tier 1 asset. We have already acquired over 4 000 km2 of new exploration targets and spent over $30-million in drilling and exploration activities since 2019.”

In addition, he points out that Barrick has invested in conversion drilling around its mines, resulting in successfully adding over 7-million ounces to its Tanzanian reserves and extending the life of Bulyanhulu and North Mara by more than 15 years.

While implementing growth plans and nurturing its relationship with the government and near-mine communities, Barrick is also demonstrating responsible post-mining principles by “implementing rehabilitation activities to demonstrate that responsible rehabilitation is possible” following the closure of its Buzwagi gold mine in July 2022.

As part of these closure plans, the miner is also developing the concept of transforming the closed mine into a special economic zone (SEZ), attracting various investors in the mining value chain.

“Currently, all the registration and licensing of the area as an SEZ has been completed, and investors have expressed interest in operating in this area,” enthuses Bristow.

Once fully operational, the SEZ will become the centre for mining support industries and will drive the growth and innovation in the sector, which will propel innovation, efficiency and cost reduction as it will assist Twiga in more easily sourcing locally manufactured goods for mining operations, he notes.

To date, Bristow says a number of investors have stepped into the SEZ, including an East African conveyor belts and steel ball manufacturer, a refinery and a solar farm, among others.

In addition to this, Barrick officially opened its Barrick Academy at Buzwagi in 2024, offering tailor-made training programmes aimed at developing frontline management.

This followed the construction of an airport terminal at Buzwagi’s Kahama, which has paved the way for a scheduled airline service that can serve more than 200 passengers at a time.

“This will sustain, or even grow, the economic and social prosperity of the region by providing employment opportunities and revenue to the government. The SEZ alone is expected to generate over 3 000 employment opportunities, based on a feasibility study.”