7th Sep 2011 07:00
AFRICAN BARRICK GOLD PLC African Barrick Gold launches the Maendeleo Fund to strengthen community investment in Tanzania
LONDON / DAR ES SALAAM, (September 07, 2011)
* Creation of the largest corporate community development fund in Tanzania
* Annual budget commitment of $10 million
African Barrick Gold (ABG) today announces the launch of the Maendeleo Fund which has been established to coordinate and govern ABG's community investment programmes in Tanzania. ABG's Board has approved a $10 million annual contribution to the Maendeleo Fund, which forms part of the Company's commitment to contribute to sustainable development in Tanzania and help improve quality of life in the communities where it operates. ABG has committed significant resources to a range of community development projects in Tanzania to date. The launch of the Fund significantly increases the Company's commitment and will serve as a centralized focal point for future initiatives.
The Fund, which commences operation immediately, incorporates ABG's current direct community spending and will become the largest corporate community development fund of its kind in the country. Investments will focus on community development, health, education, environment, water projects, skills and training programs, and will include support to non-governmental organizations with demonstrated capacity to deliver on community development initiatives.
As part of ABG's commitment to corporate social responsibility, the Fund will also finance various philanthropic initiatives, donations, sponsorships, partnerships and other forms of support and public investment. Due consideration will also be given to broader development initiatives that support Tanzania's national development strategy.
The Fund will be administered by ABG's newly established Community Investment Committee, which will meet on a regular basis to review and approve community development initiatives under the Fund.
Ambassador Juma Mwapachu, Independent Non-Executive Director of ABG commented: "Today's launch of the Maendeleo Fund highlights the focus and ongoing commitment that ABG directs towards community development in Tanzania. In keeping with this, we are also interested in exploring partnerships with third parties with expertise and capacity at delivering sustainable community investment."
Deo Mwanyika Vice President, Corporate Affairs at ABG commented: "The Maendeleo Fund seeks to promote a comprehensive community development strategy that will harness synergies across our operations in Tanzania. The Fund enables us to consider funding for a diverse range of projects to contribute to socio-economic development and strengthen the communities where we do business."
ABG's Corporate Social Responsibility Charter
We are determined to work with the utmost respect for individuals, our employees, and the communities and environments in which we operate, while pursuing value for our shareholders.
Our Corporate Social Responsibility Charter guides our conduct in the fields of Ethics, our Employees, our Communities, the Environment, Health & Safety and Security & Human Rights.
About African Barrick Gold
ABG is Tanzania's largest gold producer and one of the five largest gold producers in Africa. We have four producing mines, all located in north west Tanzania (Bulyanhulu, Buzwagi, North Mara and Tulawaka), and several exploration projects at various stages of development. With a high-quality asset base, solid growth opportunities and a clear strategy, we have the objective of increasing our existing production to one million ounces per year by 2014.
We aim to achieve this by:
* driving operating efficiencies to optimise production from our existing asset base; * growing through near mine expansion and development of advanced-stage projects; and * organic greenfield growth and acquisitions in Africa.
Maintaining our license to operate through acting responsibly in relation to our people, the environment and the communities in which we operate is central to achieving our objectives.
ABG is a UK public company with its headquarters in London. We are listed on the Main Market of the London Stock Exchange under the symbol ABG. Historically and prior to our initial public offering (IPO), our operations comprised the Tanzanian gold mining business of Barrick Gold Corporation (Barrick), our majority shareholder.
ENQUIRIES
For further information contact:
African Barrick Gold plcAndrew Wray, Head of Corp. Devt. & IR +44 (0)207 129 7150Finsbury +44 (0)207 251 3801
Charles Chichester
This announcement is for information purposes only and does not constitute an invitation or offer to underwrite, subscribe for or otherwise acquire or dispose of any securities of ABG in any jurisdiction.
This announcement includes "forward-looking statements" that express or imply expectations of future events or results. Forward-looking statements are statements that are not historical facts. These statements include, without limitation, financial projections and estimates and their underlying assumptions, statements regarding plans, objectives and expectations with respect to future production, operations, costs, products and services, and statements regarding future performance. Forward-looking statements are generally identified by the words "plans," "expect," "anticipates," "believes," "intends," "estimates" and other similar expressions.
All forward-looking statements involve a number of risks, uncertainties and other factors, many of which are beyond the control of ABG, which could cause actual results and developments to differ materially from those expressed in, or implied by, the forward-looking statements. Factors that could cause or contribute to differences between the actual results, performance and achievements of ABG include, but are not limited to, political, economic and business conditions, industry trends, competition, fluctuations in the spot and forward price of gold or certain other commodity prices, changes in regulation, currency fluctuations (including the US dollar, South African rand and Tanzanian shilling exchange rates), ABG's ability to successfully integrate future acquisitions, ABG's ability to recover its reserves or develop new reserves, including its ability to convert its resources into reserves and its mineral potential into resources or reserves, and to timely and successfully process its mineral reserves, risk of trespass, theft and vandalism, changes in its business strategy as well as risks and hazards associated with the business of mineral exploration, development, mining and production. Although ABG's management believes that the expectations reflected in such forward-looking statements are reasonable, ABG cannot give assurances that such statements will prove to be correct. Accordingly, investors should not place reliance on forward looking statements in this announcement. Any forward-looking statements in this announcement only reflect information available at the time of preparation. Subject to the requirements of the Disclosure and Transparency Rules and the Listing Rules or applicable law, ABG explicitly disclaims any obligation or undertaking publicly to release the result of any revisions to any forward-looking statements in this announcement that may occur due to any change in ABG's expectations or to reflect events or circumstances after the date of this announcement. Nothing in this announcement should be construed as a profit forecast or estimate.
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