This follows Kibo Mining carrying out a comprehensive technical and commercial review of its mineral licence portfolio in Tanzania.
This relinquishment is in line with the company’s strategy to focus resources on its MCPP development projects (coal mining and coal to power), Haneti project (nickel), and the Imweru and Lubando projects (gold) held by Katoro Gold in which Kibo Mining is a 57.1% shareholder.
Lake Victoria project
The rationalisation was carried out as part of the process of facilitating the spin-out of Kibo Mining’s key gold resource based projects, Imweru and Lubando in the region, to Katoro Gold.
The effect of the rationalisation is that the company has now surrendered most of its early stage gold licences in the Lake Victoria Goldfields of northern Tanzania and its sole remaining gold interests in this region are in the greater Imweru and Lubando licence portfolios through its majority interest in Katoro.
Altogether 79 licences were surrendered constituting a total licence area of approximately 800 km2.
The surrendered licences cover various non-contiguous single licence and small licence blocks scattered throughout the Lake Victoria Goldfields.
All the licences are at a very early stage of exploration and no longer contribute towards the company’s strategic development objectives.
“Rationalisation of our Lake Victoria project is a result of a continuous in-house evaluation of our mineral portfolios to ensure they are aligned with and positively support and contribute towards our corporate development strategy,” says Kibo Mining CEO, Louis Coetzee.
“The significant cost savings and additional availability of resources from this rationalisation will be re-assigned to our flagship MCPP and Haneti nickel projects.”
The Tanzania focused mineral exploration and development company has received written reconfirmation for expedited development of the MCPP.
The letter follows a period during which the Tanzanian Ministry of Energy and Minerals has been the subject of in-depth policy reviews and management changes.
Feature image credit: Kibo Mining