The Gambia’s Minister of Petroleum and Energy, Mr. Fafa Sanyang has informed the National Assembly Members (NAMs) that royalties accrued from quarry operations of sand and gravel, amounted to D162,869,786.
He’s responding to a question asked by the NAM for Serekunda Central, Hon. Halifa Sallah, who asked about the types of minerals (available) in the country; and the benefits accrued from each of mining sectors during the past five years of the Barrow administration.
Minister Sanyang’s answer: “Royalties accrued from the quarry operations of sand and gravel amounts to D162,869,786. In addition to the financial benefits to the state, mining and quarrying activities also create employment opportunities such as transportation, development of small and medium-size businesses as well as corporate social responsibilities, among others.”
Sanyang, a former Director of the Geological Department, further told the Assembly that during the past five years of the Barrow administration, the mining and quarrying sector has effected royalty payments to the central government, explaining that mining operations of heavy mineral sand concentrate by GACH Company, effected royalty payment of US$1,483,816.59.
He gave the types of minerals discovered, extracted and utilized in the commercial scale in the Gambia as heavy mineral concentrate (ilmenite, rutile, zircon) for export; construction sand and gravel for the construction industry in the Gambia; and kaolin clay (for industrial use for the ceramic industry), but yet to be exploited and utilized.
Minister Sanyang stated that other benefits are corporate income tax payments, training and institutional support to Geological Department in accordance with the provision of the Mining Licenses.
The seasoned Serekunda parliamentarian further wanted the Minister to inform them whether actual prospecting had been fully done to scientifically establish the quantities available at the moment, and if not, he asked, shouldn’t that be the strategic objective of the Ministry for the mining sector.
Petroleum and Energy Minister Sanyang answered that, in each mining sector, exploration is done first, and it determines both the mineral and its composition; and whether or not it’s economically viable to mine. This, he added, is conducted prior to the mining company even venturing into mining. That has to be done, and he said it’s in the interest of the company (mining) to do that, stressing it enables the company to know whether the mining would be beneficial to the company (or not.)
“This enables the company to know how many years the mining can be done progressively, and whether they will recoup what they have invested in the mining,” he noted, and added that’s the reason for the investing companies to invest in mining.
The NAM for Illiasa Constituency, Hon. Dembo K.M. Camara, asked the minister as to how much is paid to the Gambia Government from the mining at the Denton Bridge.
Sanyang revealed the amount of money paid to the government from June up to December 2020, “is eight million two hundred and eighty-nine thousand two hundred and eighty-five dalasi (D8,289,285)”.
