Tanzania
Sutton Resources Ltd. Mine acquired by Barrick Gold Corp. in 1999.
EDC: $173 million political risk insurance[1]
MIGA: US$172 million guarantees[2]
CPP: $351 million[3]
Bulyanhulu is among the most controversial Canadian mining operations in the world. Artisanal miners were forcibly evicted from the concession area by Tanzanian troops in 1996 when the concession was held by Barrick’s predecessor, Sutton Resources.[4] A storm of allegations surround the evictions including one that as many as 52 miners were buried in mine shafts.[5] Barrick denies these allegations. A former Tanzanian Attorney General and an international team of researchers, lawyers and NGOs have called for an independent inquiry into the evictions.[6] The World Bank Compliance Advisor Ombudsman (CAO) found that the evidence regarding the alleged deaths was unconvincing and did not recommend an independent inquiry, deferring this decision to the Government of Tanzania.[7] No inquiry has been held, and the CAO report has been widely criticized by NGOs.[8]
[2] Moody, Roger. The Risks We Run: Mining, Communities and Political Risk Insurance. International Books. 2005.
[3] CPP Investment Board Canadian Equity Holdings as of March 31, 2006.
[4] Patterson, Kelly: The Good Samaritans: Spending millions on aid and development, Canadian mining firms have become “the government” in some areas. The Ottawa Citizen. October 9, 2005
[5] Kerr, Stephan et al. The Men who Moil for Gold. The Varsity and the Atkinsonian. April 15, 2002.
[6] Report of the International NGO Fact-finding Mission to Tanzania. April 16, 2002.
http://www.miningwatch.ca/index.php?/Tanzania_en/Report_of_the_Intern
IRIN. Tanzania: new call for inquiry into Bulyanhulu allegations. March 6, 2002.
http://www.irinnews.org/report.asp?ReportID=23896&SelectRegion=East_Africa&SelectCountry=TANZANIA
[7] Office of the Compliance Advisor/Ombudsman of the International Finance Corporation and the Multilateral Investment Guarantee Agency. Assessment Report Summary: Compliant regarding MIGA’s guarantee of the Bulyanhulu Gold Mine, Tanzania.
http://www.cao-ombudsman.org/html-english/documents/bulyfinal.Englishpdf.pdf
[8] See letter addressed to World Bank President James Wolfensohn dated December 12, 2002.