Mineral revenues up by 17% in 1Q2008

Accra, May 21, GNA- Mineral revenue went up by 17 per cent in the first quarter of this year, according to statistics from the Ghana

Chamber of Mines. The revenue was up 577.9 million dollars compared to 493 million

dollars registered in the last three months of 2007. The Chamber attributed the increase in revenue to high prices of

gold on the world market and marginal growth in production output. Despite a decline in shipments from 417,503 tonnes to 233,252 tonnes in the first quarter, Manganese contributed 13.4 million dollars, compared to 10.0 million dollars for the corresponding period in 2007.

On the other hand, revenue from diamond declined by 10 per cent in the quarter at 6.8 million dollars, but showed a significant improvement of 42 per cent over revenues in the fourth quarter of 2007.

Similarly, Bauxite revenue fell by 31 per cent on account of low shipment of the mineral from the port.

But the Chamber is expressing fear that the increasing cost of inputs could lead to lower profits and thereby result in diminishing payment of corporate taxes and dividends to government. It said the railway workers strike had dire consequences on the

operations of bulk producers, Ghana Manganese and Ghana Bauxite

Company, because of shipment hitches.