Kinross Gold Corp. is the latest miner to be hit by changing policies in Africa as governments seem increasingly willing to upend historic deals with foreign companies in their quest for more mining revenue.
Mauritania’s rejection of a key permit to expand a Kinross project, and a proposed mining code review in Ghana, dealt a double blow to the Toronto-based miner, sending its shares down the most intraday since 2014.
Ghana and Mauritania join a string of African countries — from Tanzania to Zambia to the Democratic Republic of Congo– that are trying to reap greater economic benefits from their natural resources.
Ghana is benefiting little from its mineral wealth and needs to review its mining code and tax policies, Vice President Mahamudu Bawumia said Tuesday at a conference in the capital, Accra.
Meanwhile, Mauritania’s rejection of the permit could impact Kinross’s Phase Two expansion of its Tasiast mine, Kinross said in its first-quarter earnings statement — and implied the country’s concerns go much further.
For the rest of this article: https://www.bloomberg.com/news/articles/2018-05-09/kinross-reels-as-two-more-african-nations-seek-mining-payoffs