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Tanzanian gold mines power usage to soar  Send to a friend
Monday, 12 December 2011 08:37

Dar es Salaam. Gold mining companies operating in Tanzania are expected to nearly treble their power consumption in the next couple of years as more mines get connected to the national power grid, Tanzania's Chamber of Minerals and Energy has reported.

Ami Mpungwe TCME president was quaoted by the StockMarketWire.com as sayinh power consumption in the mining sector is expected to increase to 146 megawatts from the current 50 MW, when all the mines are connected to the national grid.(AFP)

"There is a need to improve infrastructure to sustain growth in this (mining) sector. Currently, most mine houses are generating their own power at a substantial cost, which erodes competitiveness," he said.

According to Mpungwe, because of the substantial costs involved in running operations in the energy crisis-stricken nation, Tanzania is unable to benefit from the current boom in international gold prices.

The state power utility, Tanzania Electricity Supply Corp., is the process of extending transmission lines to mines in remote areas around Lake Victoria in an effort to connect them to the national grid. (Agencies)


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