Caledonia increases Blanket Mine’s lifespan

GWANDA-based gold producer, Blanket Mine, says its lifespan has been enhanced after the mineral resources estimate increased by 52 percent to 1,095,000 ounces with the total mineral reserves estimate also increasing by one percent to 395,000 ounces.

Caledonia Mining Corporation

This follows the successful implementation and completion of the US$64 million Central Shaft investment project, which was officially commissioned by President Mnangagwa last November.
The Caledonia Mining Corporation unit is in a buoyant mood after achieving a record 80,775 ounces last year against a set target of 80 000 ounces, as it plans to pour millions of dollars towards capital expenditure.

President Mnangagwa

It said the achievement is a huge milestone for the company that is moving towards consolidating its strategy of becoming a multi-asset gold producer by acquiring several lucrative mining assets.

In an update yesterday on the mineral resources and mineral reserves, chief executive officer, Mr. Mark Learmonth, said: “I’m delighted to be publishing this report reflecting the completion of the Central Shaft, which not only has increased M&I by 52 percent to over one million ounces, but also increased mineral reserves by one percent to 395,000 ounces, thus securing the long-term future of Blanket.

“The slight reduction in inferred mineral resources is partly due to our long track record of growing mineral resources and successfully converting inferred mineral resources into M&I, but also reflects the constrained deep-level exploration due to sinking and equipping Central Shaft. We are pleased to have established new drilling platforms with resumed drilling.”

Mr Learmonth said last year, the Victoria Falls Stock Exchange (VFEX)-listed firm achieved its long-term target of producing 80,000 ounces of gold at Blanket Mine, coupled with a high gold price, which puts the firm in a good position to start to progress our new portfolio of assets supported by cash generated from stable production at Blanket Mine.

Mr Mark Learmonth

According to the update, the total Measured and Indicated Mineral Resources estimate (“M&I”) at Blanket, inclusive of mineral reserves increased by 52 percent to 1,095,000 ounces of gold while the total mineral reserves estimate also grew by one percent to 395,000 ounces.
Minxcon (Pty) Ltd was commissioned to produce updated Mineral Resources and Mineral Reserves estimates based upon existing data, reflecting the completion of Central Shaft, and the migration to fully digital estimation protocols.-ebusinessweekly