DAR ES SALAAM: THE State Mining Corporation (STAMICO) plans to establish three new mines, two for gold and one for graphite, as it seeks to expand mineral production, strengthen its investment portfolio and increase domestic participation in the mining sector.
The plan follows a significant improvement in the corporation’s financial performance, with revenue rising from 1.3bn/- in 2018/19 to 147.8bn/- in the 2025/26 financial year. Speaking during a working session with media editors in Dar es Salaam yesterday, STAMICO Managing Director Dr Venance Mwasse said preparations for the new projects were underway, including exploration at the Kigosi gold project in Geita Region.
“We have planned to establish three major mines, two for gold and one for graphite. Work on the gold project is ongoing at Kigosi, where we are now in the third month of completing exploration,” he said.
STAMICO currently fully owns three mines: Biharamulo Gold Mine in Kagera Region, Kabulo-Kiwira Coal Mine Mbeya Region and Chigongwe gravel mine in Dodoma Region. Dr Mwasse said the planned investments formed part of the corporation’s transformation agenda, known as Make STAMICO Shine Again (MSTASHA), which aims to improve performance and strengthen its competitiveness.
Beyond mining, STAMICO is expanding into value addition and alternative energy. Dr Mwasse said the corporation has established five coal briquette production facilities using coal from its Kiwira operations. A larger plant has been completed and is scheduled for inauguration towards the end of this month. He said research stablished that Kiwira coal could be processed into an alternative cooking fuel, reducing reliance on its traditional industrial uses.
The corporation is also planning an industrial park at Chigongwe in Dodoma Region to produce construction aggregates, while a modern salt-processing facility in Kilwa District, Lindi Region, has been established to help small-scale producers improve quality and add value to their products.
Dr Mwasse said STAMICO has acquired 18 modern drilling rigs to provide mineral exploration services. It also supports small-scale miners through geological exploration equipment, training and improved processing technologies.
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The corporation is working with Azania Bank, CRDB Bank and NMB Bank to help small-scale miners access financing. He said STAMICO’s long-term plans included listing on the Dar es Salaam Stock Exchange (DSE), but it first needed to strengthen existing projects, consolidate reforms and improve operational capacity to attract investors.
A listing could help raise capital and widen Tanzanians’ participation in the corporation’s ownership. Dr Mwasse said the investments aligned with Tanzania’s Development Vision 2050, which seeks to increase domestic participation in mineral exploration, extraction, processing and value addition.
He said stronger local capacity and investment in strategic mineral projects would help generate employment, support industrial development and increase economic benefits from the country’s mineral resources.