Acacia Mining shares pop as Tanzania agrees to fresh talks over the concentrate ban

Courtney Goldsmith
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A ban on exporting gold and copper concentrates has hobbled Acacia's shares (Source: Getty)

Shares in troubled gold miner Acacia rallied today after it confirmed fresh talks with the Tanzanian government over the ban on exporting gold and copper concentrates and other disputes.

In a market update, Acacia said John Thornton, the executive chairman of Barrick Gold Corporation, Acacia's majority shareholder, had met with the President of Tanzania, Dr John Magufuli.

"Barrick and the government of Tanzania have agreed to enter into discussions in order to reach a mutually acceptable solution to the issues relating to the ban on the export of gold and copper concentrates as well as the future framework for Acacia's operations in Tanzania".

Shares in the FTSE 250 company rose more than nine per cent on the news.

The surprise ban is costing the firm $1m (£800,000) a day, and its shares have plunged since the day it was announced.

Earlier this week, Acacia's stock took a fresh hit when the Tanzanian government's second investigation into metal concentrates accused the firm of hiding exports from authorities.

Acacia denied the findings, which it criticised for "grossly [overstating] the value of the concentrates by more than 10 times".

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