32 small-scale miners at the Shilalo gold mining location in Misungwi District, Mwanza, are protesting a Sh2 million compensation offer from a Chinese investor, and tensions are rising there.Since the site’s discovery in 2017, the miners have been working there, and they contend that the pay is insufficient.
They now demand action from the government to guarantee equitable treatment. The small-scale miners ran the Shilalo mine, which is situated in Shilalo Village. It was formally legalized in December 2022 after a formalization procedure that included involved finding an investor to supply equipment and technical help to increase production.
According to Janeth Bwire, a spokesman for the miners, the site was found and developed by the miners prior to receiving instructions in June to give the investor 30 days to gather samples and determine the amount of gold present.After that, they were supposed to bargain over the mine’s activities with the license holders.
Bwire did, however, state that they were offered Sh2 million for each mining claim while they awaited the results.
The miners are requesting clarification regarding the investment agreement and their portion of the earnings.”The Chinese investors promised to negotiate with us after their analysis, but they have already started work with new equipment and excluded us from the discussions,” Bwire stated.Another miner named Antony Madono described the significant investments the miners had made, including more than Sh800Road construction, equipment rental, and site development all cost millions of dollars.The miners’ desire for clarity on their financial stake and contract transparency led to the disagreement.”We want the contract to be clear, but we’re not against compensation. We anticipate our fair share, but we’re prepared to depart if needed,” Madono stated.”We demand justice,” Fatma Ahmada said, expressing her anger with the state of affairs. There are benefits for investors, but there are no drawbacks. Violence is being threatened against us. It is unfair to Tanzanians.
Haji Seif voiced alarm about the Chinese investors’ continuous operations, which started on August 8 in defiance of the miners’ protests.
“We have requested that the investor cease business activities until this problem is fixed. We worry that it might spark unrest,” Seif cautioned.
At least 104 of the 114 miners who are employed by the Shilalo Mining Group, according to Mr. Peter Charles, the group’s chairman, have received their remuneration thus far.
He urged those who were still not pleased to pick up their remaining funds, which adds up to Sh8 million, according to him.
“We formed a valuation committee that determined the value of the claims, and all agreed amounts have been paid,” Charles said.Nyaisara Mgaya, the resident mining officer for the Mwanza Region, accepted the disagreement and ordered a meeting to settle it. She promised to look for a solution within the next seven days. Mgaya emphasized how crucial it is to pay miners fairly and include them in the investment process in a methodical manner. “It has been about three years since the area was last used. After the investment is up and running, Mgaya stated, “it will help the government, create jobs, and boost the local economy.”
