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(NYASATIMES) Bingu says uranium to be Malawi’s top foreign earner

Bingu says uranium to be Malawi’s top foreign earner
Nyasa Times 17 April, 2009 03:11:00

President Bingu wa Mutharika has officially commission the US$200 million Kayelekera Uranium Mining Project run by an Australian firm, Paladin Africa Limited, in the northern district of Karonga saying the project will become Malawi’s top foreign earner.

Launching the project on Friday, President Mutharika said the mining will contribute about 10 percent to Malawi’s Gross Domestic Product (GDP) of about US$2 billion.

"Malawi is expected to earn over $100 million in export earnings per annum from royalties, taxes and offer 300 people direct employment and 1,000 (people) additional employment in other related industries," Mutharika and economist said.

"I call upon investors to come to Malawi and mine other minerals that have been discovered in the country like gold, bauxite and emeralds," he said.

Malawi's government has a 15 percent stake in the mine, which has a lifespan of 12 years, and Paladin Africa holds the rest.

President Mutharika’s Press Officer, Chikumbutso Mtumodzi has described the project as high achievement of the President in his five-year rule.

"This is a high achievement of the Mutharika administration because the mining project will bring changes by providing infrastructural development which will include a health facility, school and water supply to the surrounding community," Mtumodzi told APA.

He added that government will also receive a free equity of 15 percent of the proceedings in the production of the uranium.

Labels: BINGU WA MUTHARIKA, MALAWI, MINING, URANIUM

posted by MrK @ 6:31 PM