AFRICAN BARRICK GOLD IN NEED OF USD 15 MILLION

African Barrick Gold Plc needs $15 million to buy equipment for mining in northern Tanzania.

The London Stock Exchange listed firm expects initial production from the zone to start in the next three months and an additional funding of $15 million will be required to procure the equipment in the second half of 2015.

ABG chief executive officer Brad Gordon said capital expenditure will allow the first ore to be mined in the Upper East Zone of Bulyanhulu within three months and the rate will increase to over 250,000 tonnes per annum from next year.

He said the area is expected to be cash flow positive with production of 1.7 million ounces of gold, averaging 60,000 ounces per annum over 25 years as Bulyanhulu is a world class high grade underground mine.

Upper East Zone was accessed in 2001 but was not developed.