By The Respondent Reporter
Dodoma. Buckreef Gold Company Limited has signed a strategic gold sale agreement with the Bank of Tanzania (BoT), joining other major producers in supporting the country’s effort to grow its gold reserves.
Under the deal signed on June 16, the company will sell at least 20 percent of its gold production to the central bank, in line with Section 59 of the Mining Act.
The move comes as Buckreef prepares to implement an ambitious expansion plan aimed at significantly boosting its production capacity and deepening its economic impact in Tanzania.
“This agreement demonstrates our alignment with national priorities and our confidence in Tanzania’s evolving gold ecosystem,” said Buckreef Gold General Manager Isaac Bisansaba.
The company is transitioning into underground mining and upgrading its processing plant from 2,000 to 3,000 tonnes per day.
Once complete, the expansion is expected to increase annual production to an average of 62,000 ounces of gold, peaking at 94,000 ounces by the fifth year.
Bisansaba said the agreement with BoT also supports wider government goals of increasing value addition, strengthening foreign exchange reserves, and paving the way for Tanzania to meet international standards such as London Bullion Market Association (LBMA) accreditation.
With a 14.4 million-tonne underground resource grading 2.22 grams of gold per tonne, Buckreef’s expansion is also expected to spur inclusive growth in the Geita region, where hundreds of new jobs will be created across mining, engineering, logistics, and processing.
“As we scale up, so does our commitment to local hiring, training, and procurement,” said Bisansaba. “We continue to work closely with Tanzanian suppliers and communities to ensure the mine’s growth translates into shared prosperity.”
The company has announced plans to train over 100 Tanzanian professionals in advanced underground mining techniques through a skills development programme.
Buckreef Gold is a joint venture between TRX Gold Corporation, through its subsidiary TRX Gold Tanzania, and the Government of Tanzania through the State Mining Corporation (Stamico).
The signing signals Buckreef’s long-term commitment to Tanzania and its growing role in driving local content, value addition, and the beneficiation strategy championed by the government.
