Each year the IMF is publishing data on trade between countries in a report called “The Direction of Trade Statistics”. Just recently the IMF brought out the report for 2009, which is covering approximately 200 countries around the world.

The data of the study is based on information received from participating nations about exports and imports made between them and other countries.

Therefore, the accuracy and full picture of the data depends on what those countries provide to the IMF. Many countries do not deliver any data at all. For example, there are no figures available from Qatar and the United Arab Emirates, which have certainly important trade relations with Eritrea.

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COMESA REGION

Victoria Falls (Zimbabwe) - The organization for a common market for Eastern and Southern Africa (COMESA), has launched a single customs union yesterday during the 13th summit of the Head of States 2009.

Eritrea is a member of COMESA and is therefore taking part in the new customs union. The aim of the union is to facilitate trade between member states in a common market.

The COMESA customs union comes along with Eritrea’s recent announcement to introduce Free Trade Zones at the port of Massawa and Assab. As a result, the prospects for trade being stimulated in Eritrea look promising, because Eritrea has lowered trade fences for intra African as well as for overseas goods and products.

The member countries have created one region in respect to their standardized customs system. For example, the abolishment of customs fees for certain goods traded between the member states themselves or the charging of the same rate of customs duty on goods imported from outside their territories.

The President of Zimbabwe Robert Mugabe, who took over the Chairmanship of COMESA for one year, called out to potential investors; ” We have a regional market for you, come to COMESA!”.

The outgoing Chairman and President of Kenya, Mwai Kibaki, encouraged the member states to stay committed to the regional organization, which has developed from a Preferential Trade Area (PTA) to the Free Trade Area (FTA) leading to the launch of the COMESA customs union.

Further, he announced that intra COMESA trade has reached the $15 billion mark in 2008, from $3.2 billion in 2001 when the COMESA FTA was introduced. Out of Eritrea’s total exports in 2007 approximately 8% were made to the COMESA region and 2% of imports came from the COMESA region (see table on the right).

Sunridge Gold Mine Eritrea

Vancouver, British Columbia: Sunridge Gold Corp. announced today in a press release that an independent preliminary economic evaluation of the Emba Derho copper, zinc and gold deposit in Eritrea was positive. The independent assessment was done by Wardrop Engineering Inc., which is a subsidiary of the Tetra Tech Group.

The experts have estimated that the deposit would provide 4 million tonnes of Ore with a life span of 10.4 years and that it might be possible to extend the mine life. Ore is a mixture of minerals, from which on or more metals such as copper, zinc or gold may be extracted.

Further, it is said that a special plant could process annually 55,000t zinc, 25,000t copper, 20,000oz gold and 0.6moz silver. The rate of return on the investment of $331.8 million with sustaining capital of $67.3 million has been estimated to 21.6% with 4 years payback.

The independent consulting company has suggested that Sunridge Gold moves on to the next stage in the Emba Derho project and possibly considers the extension of the exploration area, due to a big exploration potential in the region.

In addition, Wardrop believes that cost measures such as using the existing Eritrean railway line to transport minerals to the port of Massawa or sharing the costs of port facilities with Nevsun Resources could increase profitability.

The CEO of Sunridge gold believes that the study reveals a big potential of the deposit to become a large base metal producer. He further acknowledges the big support of the Government of Eritrea and the local community.

Moreover, he points out, that an excellent local infrastructure with paved roads, power and water supply as well as the short distance to the port of Massawa will help to move to production in a relatively short period of time.

Sub-Sahara Resources Limited announced that a Scheme Booklet for the planned merger with Chalice Gold Mines has been filed with the Australian Securities and Investments Commission (ASIC).

A Scheme Booklet contains detailed information how the proposed merger of both companies is going to be arranged. The consent of Australian regulators for transaction of this nature requires the approval of the Australian Stock Exchange Limited (ASX) and the Australian Securities and Investments Commission.

Further, Sub-Sahara has been granted a loan facility of $450.000 from Chalice Gold Mines Limited in order to fund continued development at the Zara Project (Koka Deposit) in Northern Eritrea.

The $450.000 loan is given interest free until 01.09.2009; thereafter the ANZ rate for loans over $100.000 plus 3% will apply.

Chalice Gold Mines has proposed to Sub-Sahara share holders 1 Chalice Share for every 10.73 Sub-Sahara Share.

The merger is set out to combine the strong cash deposit of Chalice with Sub-Sahara’s 69% ownership of the Zara Gold Project in Eritrea.

Further, Chalice is planning to increase the ownership stake on the Zara Project to 80% once the merger has been completed. The time table for the merger is delayed by three weeks at this stage, because the initial plan to file the Scheme Booklet with the ASIC was the 11.05.2009.

This might postpone the finalization of the merger slightly, which will be also subject to third party and Sub-Sahara shareholders approval, towards mid - August - 2009.