London, England — 08 October 2012 – Pan-African, multi-commodity resources company Mwana Africa plc has revealed a number of significant intersections of high grade nickel from its resource drilling programme at the Bindura Nickel Corporation (BNC) Trojan nickel mine in Zimbabwe.
Announcing this development in a statement released here, the company pointed out that these were the first drilling results from Trojan since the successful recapitalisation and restructuring of BNC “’ in which Mwana held a 52.9% majority stake “’ had been completed last month.
The Trojan drilling programme took place over a period of 29 months, and a total of 8,040m were drilled over 18 boreholes using a diamond drill rig.
The aim of the drilling programme is to confirm the down dip extension of the massive sulphide zone within the main ore body. The programme will delineate the main ore body and hanging wall ore body resources between 37 and 45 level; form the basis of an updated JORC compliant resource; and provide the basis for the extended life of mine plan for Trojan.
BNC recently concluded a restructuring and recapitalisation involving a rights issue and placing which allowed the company to restart its Trojan nickel mine, which is based in Bindura, in Zimbabwe. Operations have now recommenced with the objective of producing concentrate for sale by Q2 of 2013. BNC has an off-take agreement with Glencore International, who will buy all the nickel concentrate produced by Trojan.
Mwana CEO Kalaa Mpinga commented: “I am very encouraged by the early results from the resource drilling below 37 level at Trojan. The nickel grades are better than expected and underpin our confidence in the quality and future prospects of the mine which is currently in the process of being restarted.”
Mwana’s principal operations and exploration activities cover gold, nickel and other base metals, and diamonds in Zimbabwe, the Democratic Republic of Congo (DRC) and South Africa. It was the first African-owned and managed mining business to be listed on London’s AIM market.
The company’s Freda Rebecca gold mine in Zimbabwe restarted operations in 2009 and achieved its target production rate of 50,000ozpa of gold 2011. In February 2012, Mwana announced a gold mineral resource of 2.01Moz at its Zani Kodo project in the DRC.
And in August 2012, Mwana announced that it had entered into a cooperation and development agreement with Zhejiang Hailiang Company Limited to jointly explore its copper licence areas in the Katanga Province of the DRC.
Source: Mwana Africa plc. For more information, click here.