It is essential to our values and vision, that our economic contributions and impacts are consistent with our objectives for sustainable development. These objectives provide tangible, immediate and long-term benefits to the people of Eritrea. The Bisha Mine, up until 2015, was the only modern mine in Eritrea, and our economic contributions have a positive, significant impact on the Eritrean economy by providing employment opportunities, training, and wages.

Beyond the employment that we provide, and our contribution to a stronger, more sustainable economy, the Bisha Mine provides opportunities for skills development through training and community support. We also represent a significant source of income for local businesses, through the mining supply chain. The Bisha Mine also provides direct revenue to the State of Eritrea through corporate income taxes, royalties, employment taxes, and distributions to ENAMCO.

Our economic value and the distributions from our operations (as defined by the Global Reporting Initiative) are below. For purposes of the table, economic value approximates cash value.

The Bisha Mine represents a significant contribution to the Eritrean economy. Since its inception, the mine has generated approximately two billion dollars in revenue, which has had numerous domestic spin-off effects. Naturally, in an economy such as Eritrea’s, much of the mine’s supplies are ultimately sourced from outside of the country. For that reason the direct impact to the country is difficult to measure.

ECONOMIC VALUE GENERATED Total 2015 2014 2013 2012 2011
Sales and by-product income $2,181,391 $356,872 $555,012 $155,698 $566,039 $547,770
Pre-commercial production copper sales 122,191 9,275 112,916
Pre-commercial production gold sales 48,613 48,613
Total Economic Value Generated $2,352,195 $356,872 $564,287 $268,614 566,039 $596,383
ECONOMIC VALUE DISTRIBUTED Total 2015 2014 2013 2012 2011
Operating and administrative expenses (including salaries), capital expenditures, and other outlays 1,160,215 282,596 273,319 198,175 217,639 188,486
Income taxes, royalties, and other government remittances paid 828,034 72,956 206,955 86,635 317,443 144,045
Dividends paid to Nevsun shareholders 116,528 31,954 34,770 23,880 19,989 5,935
Total Economic Value Distributed $2,104,777 $387,506 $515,044 $308,690 $555,071 $338,466
Total Economic Value Retained $247,418 $(30,634) $49,243 $(40,076) $10,968 $257,917