Kilimapesa Gold Mine is located in a mining friendly jurisdiction in Kenya. Kilimapesa has a mining licence with a JORC resource, an established, producing, shallow underground mine and processing plant as well as an extensive prospecting permit. Gold ore is produced on site and exported to international refiners, offering immediate value uplift through revenue generation. Further upside can be seen through plant expansion and reserve and resource upgrade.
JORC Compliant Resources of 671,446oz gold
Granted mining licence and exploration licence area
Limited capital investment into mining and processing operations and regional exploration over past 5 years
Opportunity to optimise mining and processing plant operations
Opportunity to significantly increase JORC Compliant resources from several identified targets from historic small-scale mining, surface mapping and previous drilling.
Gold mining area since 1920s, in close proximity to Lake Victoria Goldfields.
- Located in the heart of East Africa, covering a total surface area of about 586,600km
- Relatively stable climate.
- Stable political system – Uhuru Kenyatta has been head of state since April 2013.
- Government keen to attract foreign direct investment and focused on mining sector.
- Mining activity has been present for over 50 years but industry still in relative infancy.
- Significant discovery potential and gold sector is fast emerging with a number of major new investments such as AIM-listed Shanta Gold.
- Government focused on developing and implementing policies that will allow the country to benefit from its mineral wealth.
- New mining code in 2016 to ensure the sustainable exploitation of natural resources.
Kilimapesa has a current Mineral Resource of 8,715,291 tonnes at 2.40 g/t gold for 671,446oz at a cut off of 1 g/t. This resource is JORC Compliant and comprises the Kilimapesa Hill and the Red Ray deposits, both of which are located close to the Kilimapesa Gold Processing Plant.
Total Resource (1 g/t cut-off)
Tonnes Grade g/t Ounces Measured 626,678 3.05 61,462 Indicated 1,337,250 2.86 123,190 Total 1,963,928 2.92 184,652 Inferred 6,751,363 2.24 486,794 Total 8,715,291 2.40 671,446
Several exploration targets, other than Kilimapesa Hill and Red Ray, have been identified on the Prospecting Licence, these targets have been identified by past mining activities, artisanal mining, surface mapping, and exploration drilling programmes. Prospectivity confirmed by IP programmes which delineated the extent of the mineralised veins within the target areas. The first target identified for development is Kilimapesa Hill where samples of vein exposures recorded grades up to 8.74 g/t, the second target is Teng Teng where underground development and drilling returned average grades of 15g/t and RC drilling intercepts include 2m @ 28.11 g/t and 1m @ 57.41 g/t.
The Kilimapesa Mine consists of five adits (A, B, C, D and Bull) which have intersected at least four gold-bearing veins, three of which have been developed through drives, raises, and stopes. The strike of the orebodies is +/- E-W and the dip angle varies from 45 to 70 degrees with drive sections of 2.5m x 2m and raises are excavated at 10m to 15m intervals along the drives. Ore grade is regularly sampled at the face. Ore >3 g/t is considered high grade and mined. In 2017-2019, average underground ore grade was 4.1 g/t and ROM ore from the underground mine has traditionally been supplemented by tailings from artisanal mining activities which have accounted for up to 40% of the process plant feed.
Kilimapesa covers the eastern end of the historically producing Migori Archaean Greenstone Belt with gold mineralisation occurring along a WNW trending complex of shear zones with orientations that roughly parallel the strike of the belt. The Migori Greenstone Belt is responsible for the majority of Kenya’s gold production and comprises a volcano-sedimentary package of approximately 2850Ma age. It is an extension of the granite-greenstone terrain of the Tanzanian Craton / Lake Victoria Gold Fields which have been the subject extensive modern gold mining activities and nearby operators include Barrick Gold’s North Mara Mine and Shanta Gold’s West Kenya Project.