To commence mining and processing gold at a rate of 12,000 oz per annum, continue to drill the ore zones at Imwelo to expand the Resource and Reserve using cashflow generated from the operations.
Lake Victoria Goldfields
region of northern Tanzania
Proven mineral district
THAT CURRENTLY HOSTS BOTH
Geita gold mine
and Barrick Gold's
Bulyanhulu gold mine
Mining is one of the leading sectors in Tanzania, with the value of mineral exports increasing each year. Leading minerals include gold, iron ore, nickel, copper, cobalt, silver and diamonds. Tanzania is the third-largest producer of gold in Africa after South Africa and Ghana.
In 2013 and 2014 Lake Victoria Gold (current owners of the Imwelo project) undertook grab sampling across the property, geological mapping, a targeting pitting program, Ground-magnetic survey, Induced Polarisation (IP) survey and 3 drilling programs including both Diamond Core and Reverse Circulation drilling.
In 2015 a Mining Licence was granted to Lake Victoria Gold following the issuance of the Environment Licences required to undertake Mining Operations. An independent Resource Estimate and Geological report was also undertaking and classified a Resource of 200,000 oz. for the drilling undertaken to date. Approximately 50% of this was to Measured and Indicated category. A subsequent independent feasibility study was undertaken and classified an economic open cut Reserve of 44,000 oz. at 2.9g/t, for the 2 ore zones (of the 10 available) explored in detail to date. The Pre-feasibility study was based on a small-scale gold mine and processing facility operating at a rate of 15,500 oz. per year.
In 2016 a further drilling program was conducted to increase the Resource size and also increase the annual production target rate to 30,000 oz. pa. It is expected that Imwelo can sustain an Open Cut mine life of at least 7 years and an underground mine life of a further 8 years.