EXPLORATION & DEVELOPMENT

Amani boosts multimillion ounce resource in DRC

THE good news for the enigmatic Amani Gold is it’s now outlined an estimated 4.1 million ounces at its Kebigada deposit in Democratic Republic of Congo. The not-so-good news is that while the 4.1Moz headline number matches the reserves at the nearby and highly profitable Kibali operation, the grade remains a fraction of that being mined by its neighbours.

 Kibali - Amani would like to develop one of these in the DRC

Kibali - Amani would like to develop one of these in the DRC

Kebigada has 124 million tonnes grading 1.03 grams per tonne for 4.1Moz, while about 35km to the east Barrick and AngloGold's Kibali has reserves of more than 30 million tonnes of reserves grading in excess of 4 grams per tonne for 4.1Moz.

Still, grade is only part of the development equation and the ASX-listed company reportedly remains confident.

"We believe we have a major gold deposit here at Giro, and Amani now has a very solid resource base to move to our aim of significant gold production from a new African gold mine," Amani said.

Kebigada is part of Amani's overall Giro project.

Further, chairman Klaus Eckhof has runs on the board given it was his Moto Goldmines earlier this decade that explored and delineated 12Moz (and completed a feasibility study) in the Kibali area that subsequently attracted a Randgold takeover bid - with Randgold itself thereafter being consumed by Barrick.

As a result of the new Kebigada resource estimate and "recent successful deeper drilling", a campaign of 6000m core drilling along strike and along the western edge of the deposit is expected to begin in May/June.

MNN was unable to reach Amani director Grant Thomas.

Amani issued a convertible note in January with a face value of A$2.1 million, and received a commitment from a firm called Neo Gold for $3 million in equity (with new shares being issued at 0.3c each), subject to shareholder approval at a meeting next week.

Shares in Amani were up 100% to 0.2c on turnover of $930 in midday trade.

At the price the company is capitalised at $12 million.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining News Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining News Intelligence team.

editions

Mining Journal Intelligence Global Leadership Report 2024: Net Zero

Gain insights into decarbonisation trends and strategies from interviews with 20+ top mining executives and experts plus an industrywide survey.

editions

Mining Journal Intelligence Project Pipeline Handbook 2024

View our 50 top mining projects, handpicked using a unique, objective selection process from a database of 450+ global assets.

editions

MiningNews.net Research Report 2024

Access a multi-pronged tool to identify critical risks and opportunities in Australia’s mining industry.

editions

Mining Journal Intelligence Investor Sentiment Report 2024

Survey revealing the plans, priorities, and preferences of 120+ mining investors and their expectations for the sector in 2024.