Sunridge Gold Corp. (SGC: TSX.V/SGCNF: OTCQX) is pleased to announce that the Asmara Mining Share Company (AMSC) has signed a Mining Agreement with the Eritrean Ministry of Energy and Mines (MEM) and as a result three mining licenses will subsequently be issued to AMSC.
These licenses will cover the four advanced projects (Emba Derho, Adi Nefas, Gupo Gold and Debarwa) that make up the Asmara copper-zinc-gold project in Eritrea. An additional 83.12 square kilometers of exploration licenses will be retained by AMSC which include the Adi Rassi copper-gold deposit and the Kodadu gold deposit.
ERITREAN President Issayas Afeworki is pushing for the rapid development of mining projects, without taking too much notice of the conclusions of a recent report by the United Nations Monitoring Group on Somalia and Eritrea (ESMG).
This report nevertheless singled out Hagos Gebrethiwet Maesho (known as Hagos Kisha), the director of economic affairs of the country’s ruling party, People’s Front for Democracy and Justice (PFDJ).
It suspects him of setting up “complex financial structures” that enable the Eritrean government to use revenue from the mining sector to finance the PFDJ and even to support military activity that “could constitute a violation of resolution 1907”.
RUSSIAN companies have picked up their activity levels in Eritrea in terms of mineral exploration. At the end of August last year, a subsidiary of Gazprombank (GPB) (RTS: GZPR), Ketina Mining, registered in Eritrea in order to study potential gold and copper mining projects.
The company later entered into a joint venture with Eritrean State mining company ENAMCO to become the first Russian-Eritrean Mining Share Company.
Ketina Mining Share Company holds an area of 1000 km2 exploration license in Gash Barka region, Molki sub region. The area is located South-West of Asmara.