Tanzanian export ban costs Acacia $1m a day

GOLD miner Acacia is losing $1m (£800,000) a day because of a surprise ban on copper and gold concentrate exports levied by the Tanzanian government.

Shares in the FTSE 250 miner tumbled this month due to the ban, with Acacia warning it would affect 30pc of its revenue. Acacia said yesterday there had been no material change to the situation, although it was “engaging with key government officials and other stakeholders” to resolve the impasse.

Tanzania’s apparent motive for banning copper and gold concentrate exports is to help it develop a domestic smelting industry, as all such products are currently shipped abroad for processing.

However, experts believe it could take at least five years to build the necessary infrastructure.

Uncertainty surrounding the ban also led to the end of merger talks between Acacia and Canada’s Endeavour, which could have created a $3bn African gold miner.

Acacia shares edged down 0.2p to close at 464p.