Bloomberg News

African Barrick Gold Advances in London as Tax Concerns Ease

June 09, 2011

(Updates with closing share price in second paragraph.)

June 9 (Bloomberg) -- African Barrick Gold Plc, the largest producer of the metal in Tanzania, rose the most in two months in London trading after dismissing concerns its operations in the African country may be affected by increased taxes.

African Barrick climbed 10 pence, or 2.4 percent, to 425 pence by the 4:30 p.m. close, the biggest gain since April 8.

The shares dropped 7.8 percent yesterday after Tanzania’s national planning commission recommended the government consider a so-called super-profit tax on the mining industry.

“The tax treatment of our existing operations is, and will continue to be, that set out in the respective Mineral Development Agreements,” London-based African Barrick said in a statement today.

--Editor: John Viljoen

To contact the reporter on this story: Thomas Biesheuvel in London at tbiesheuvel@bloomberg.net

To contact the editor responsible for this story: Amanda Jordan at ajordan11@bloomberg.net


The Good Business Issue
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus