Banro welcomes the DRC government's final ratification of the fiscal arrangement under its mining convention



    TORONTO, Aug. 11 /CNW/ - Banro Corporation ("Banro" or the "Company")
(NYSE AMEX - "BAA"; TSX - "BAA") is pleased to report that the government of
the Democratic Republic of the Congo (the "DRC") has ratified, with minor
modification, the Fiscal Agreement reached between the government and the
Company in February 2009. The Company continues to receive full cooperation
and support from the DRC's central and provincial governments as it moves
forward to develop its wholly-owned gold projects in the DRC.
    In its press release of February 25, 2009, the Company announced that it
had received official confirmation from the Government of the DRC that all
aspects of the Company's Mining Convention and its mining licences conform to
Congolese law.
    The Company has agreed to enhance its existing commitment to the DRC and
the local communities of South Kivu and the Maniema provinces through:

    
    -   An advance payment of US$2 million to the DRC government to be made
        when the Company completes the equity and debt financing process for
        construction of the Twangiza project. These funds will also be used
        to support social infrastructure development in the Twangiza and
        Luhwindja communities and will be credited against future taxes;
    -   A pledge of US$200,000 to settle legacy issues with SOMINKI SARL and
        the transfer to the central government of certain real estate assets
        redundant to the Company's operations;
    -   4% of future net profits, after return of capital, allocated through
        the central government to the communities of South Kivu and Maniema
        provinces for the building of infrastructure projects, including
        roads and bridges, schools and health care facilities;
    -   A royalty of 1% on gold revenues.
    

    Company President and C.E.O. Mike Prinsloo said: "Following this
ratification the Company and the government of the DRC remain fully committed
to working together towards the development of Banro's gold projects. This
will ensure that the benefits of mineral development contribute to the
sustained social and economic development of the communities of South Kivu and
Maniema provinces where we operate. Banro has already demonstrated an
outstanding commitment to community development through both the Banro
Foundation and the Company's policy of creating capacity-building jobs and
opportunities for local Congolese."

    Banro is a Canadian-based gold exploration company focused on the
development of four major, wholly-owned gold projects, each with mining
licenses, along the 210 kilometre-long Twangiza-Namoya gold belt in the South
Kivu and Maniema provinces of the DRC. Led by a proven management team with
extensive gold and African experience, Banro's strategy is to unlock
shareholder value by increasing and developing its significant gold assets in
a socially and environmentally responsible manner.

    Forward-Looking Statements: This press release contains forward-looking
statements. All statements, other than statements of historical fact, that
address activities, events or developments that the Company believes, expects
or anticipates will or may occur in the future (including, without limitation,
statements in respect of future gold production and the Company's development
plans and objectives with respect to its projects) are forward-looking
statements. These forward-looking statements reflect the current expectations
or beliefs of the Company based on information currently available to the
Company. Forward-looking statements are subject to a number of risks and
uncertainties that may cause the actual results of the Company to differ
materially from those discussed in the forward-looking statements, and even if
such actual results are realized or substantially realized, there can be no
assurance that they will have the expected consequences to, or effects on the
Company. Factors that could cause actual results or events to differ
materially from current expectations include, among other things:
uncertainties relating to the availability and costs of financing needed in
the future; uncertainty of estimates of capital and operating costs,
production estimates and estimated economic return; failure to establish
estimated mineral resources or mineral reserves; fluctuations in gold prices
and currency exchange rates; inflation; gold recoveries being less than those
indicated by the metallurgical test work carried out to date (there can be no
assurance that gold recoveries in small scale laboratory tests will be
duplicated in large tests under on-site conditions or during production);
changes in equity markets; political developments in the DRC; lack of
infrastructure; failure to procure or maintain, or delays in procuring or
maintaining, permits and approvals; lack of availability at a reasonable cost
or at all, of plants, equipment or labour; inability to attract and retain key
management and personnel; changes to regulations affecting the Company's
activities; the uncertainties involved in interpreting drilling results and
other geological data; and the other risks disclosed under the heading "Risk
Factors" and elsewhere in the Company's annual information form dated March
30, 2009 filed on SEDAR at www.sedar.com and on EDGAR at www.sec.gov. Any
forward-looking statement speaks only as of the date on which it is made and,
except as may be required by applicable securities laws, the Company disclaims
any intent or obligation to update any forward-looking statement, whether as a
result of new information, future events or results or otherwise. Although the
Company believes that the assumptions inherent in the forward-looking
statements are reasonable, forward-looking statements are not guarantees of
future performance and accordingly undue reliance should not be put on such
statements due to the inherent uncertainty therein.





For further information:

For further information: please visit our website at www.banro.com, or
contact: Mike Prinsloo, President and C.E.O., South Africa, Tel: + 27 (0) 11
958-2885; Arnold T. Kondrat, Executive Vice-President, Toronto, Ontario, or
Martin Jones, Vice-President, Corporate Development, Toronto, Ontario, Tel:
(416) 366-2221 or 1-800-714-7938

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