Acacia Mining shares drop 18 per cent after Tanzania bans exports

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Shares in Acacia Mining, the London-listed gold miner in merger talks with a Canadian rival, dropped by almost a fifth on Friday after Tanzania unexpectedly banned exports of gold.

Tanzania’s Ministry of Energy and Minerals said the ban on exports of gold, copper, nickel and silver would take effect immediately.

“At this stage, Acacia has ceased exports of gold/copper concentrate and is urgently seeking further clarification from the Ministry of Energy and Minerals,” Acacia said.

The move is the latest in a series of recent country bans on minerals exports. Indonesia introduced new rules this year, forcing miners to convert to special licenses for exports. The Philippines is also considering banning exports of raw materials, Reuters reported Friday.

Acacia Mining shares fell 16 per cent to 445.97p. They have risen 19 per cent this year, boosted by a reported gold find at its project in Kenya and reports of discussions with Canada’s Endeavour Mining.

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