Uranium mining could begin in Tanzania

13 April 2010

Uranium mining will soon take place in Tanzania, after the country revealed it has made a discovery of the mineral.

According to the East African, deposits of uranium oxide in the country are worth $2.2 billion (£1.43 billion).

But the Mining Bill must first be tabled before the mineral can be extracted.

The bill follows the Mining Act 1998 and the publication hopes the new version will "create a win-win situation".

Mantra Resources and Uranex Resources confirmed the discovery, after exploring for uranium in the central and southern parts of Tanzania.

Uranium could become the country's second-most dependable export. Gold is currently the main export and Tanzania is one of the top four largest gold producers.

And the Wall Street Journal reported yesterday (April 12th) that the nation's mining sector is "over-reliant on gold".

This was the view of a government official, who explained there has been a lot of interest from international investors concerning uranium projects.