In gold production, Carbon In Pulp (CIP), according to Wikipedia, is an extraction technique to recover gold, which has been liberated into a cyanide solution as part of the gold cyanidation process.
Prior to the ban, local traders were transporting carbon to Mwanza region where, it was claimed, there was a sophisticated technology to extract gold but the issue of transparency between regulators and players was in limbo.
The region predicts that earnings from Cooperate Social Responsibilities (CSRs) will rise from the current 9.2 billion/-, which is 0.7% of total turnover, to over 10 billion/- in the next fiscal year, thanks to the growing trend of gold production.
In May, this year, Geita regional authorities forbade the transportation of carbon to other regions, especially Mwanza, for extraction of gold.
Geita Regional Commissioner (RC), Engineer Robert Gabriel, told the ‘Daily News’ here yesterday that his office decided to stop carbon transportation as per Minerals Ministry’s order after sensing the dirty game in the process.
He said before the ban, Geita used to record low production of gold compared to recent months.
Engineer Gabriel said in May, this year, the region produced only 20kg of gold but, one month later, production of the slightly reddish yellow mineral soared to 104kg, an increase of over 500%.
“Production was above 100% after banning transportation of carbon outside the region… in May, they recorded 20kg but in June, production increased to 104kg,” he said.
The RC added that recent records for July indicate that gold production has further increased to 143.3kg, adding: “I think we must allow numbers to speak… they clearly show how much the region and government in general had been losing revenues through transporting carbon from Geita to other areas,” he said.
He gave reasons behind the ban as easy monitoring of the business and collection of revenues in various councils within the region and creation of transparency in the trade through affirmative actions.
“It was difficult to collect revenues when carbon was being transported to other areas outside the region, our experts had no equipment to measure the amount of gold that was contained in the carbon… we were getting little,” he said.
Engineer Gabriel said records show that in the past six months, big gold mining companies in the region produced over 100 tonnes of gold while small scale miners managed to produce only eight tonnes.
The RC believes that the region can produce more and his office has already devised plans to achieve its goals that will see some of its councils paying their employees on their own instead of relying on the central government.
On the other development, all district councils in the region have planned special areas for gold processing plants to simplify monitoring of the precious metal’s production.
“It is easier to manage 100 plants located in the same area where gold is being extracted rather than only five but scattered plants,” the RC argued.
Members of Parliament in 2017 approved amendments of the Mineral Laws, which included the Written Laws (Miscellaneous Amendments) Act, 2017; the Natural Wealth and Contracts (Review and Renegotiation of Unconscionable terms) Act, 2017 and the Natural Wealth and Resources (Permanent Sovereignty) Act 2017.
The aim was to empower people to control and own natural wealth through the government.