In support of financial transparency and accountability, Nevsun has voluntarily committed to disclosing payments made to governments. This disclosure is aligned with “Publish What You Pay” initiatives that call on companies to disclose their payments to governments, such as the Extractive Industry Transparency Index (EITI) and proposed legislation in the U.S. and Canada.
Since the Bisha Mine began commercial operations, our economic contributions have been considerable. Of approximately $2.4 billion in economic value generated, over $1.2 billion* represents direct payments into the Eritrean economy. These economic benefits continue to generate many spin-off effects.
Note that some of the goods and services purchased from local suppliers are ultimately sourced from outside the country—which reduces the value of the spin-off effects to far less than the gross values in the table. The largest example would be the approximately $24 million in fuel purchase deposits made during the year (2014 – $42 million).
Payments to governments and government-owned entities from 2011 to 2015 are shown included in the chart below: