Perseus to commence the construction of a gold project in Nyazaga.

Perseus Mining, an Australian company, has officially announced the commencement of construction for the Nyanzaga gold mine located in Sengerema District, Mwanza Region. 

This project will be operated by a joint venture with Sotta, where Perseus holds an 84% stake and the Tanzanian government retains a non-dilutable 16% ownership. 

In a statement released on April 28, 2025, it was revealed that approximately 1.4 trillion Tanzanian Shillings, equivalent to 523 million US dollars (including contingencies), will be invested in building this significant mine, which is expected to produce its first gold in the first quarter of 2027. 

The funding for the construction will be sourced entirely from Perseus through interest-free loans directed specifically to the Nyanzaga project, supported by a cash and bullion reserve of 801 million US dollars as of March 31, 2025. 

As the company awaits final investment decisions from its senior management, it has already invested around 27.5 million US dollars in preliminary activities, including site establishment, earthworks, camp construction, and the implementation of a Resettlement Action Plan to provide new housing for those affected by the project.

 Following this announcement, the Minister of Minerals, Hon. Anthony Mavunde, expressed that this news is a positive development for the mining sector and a testament to the effective leadership of President Samia Suluhu Hassan, which has created a “favorable environment ” for attracting significant investments in the country. 

Mavunde highlighted that the announcement has brought renewed hope to the people of Sengerema, who have long awaited this project, as their dream of seeing a major gold production initiative is now becoming a reality.