Rukwa DMFS Project Update

RNS Number : 4440V

Kibo Mining Plc

28 October 2014

 



Kibo Mining Plc

(Incorporated in Ireland)

Registration Number: 451931

(External registration number: 2011/007371/10)

Share code on the JSE: KBO

Share code on the AIM: KIBO

ISIN: IE00B61XQX41

("Kibo" or the "Company")

28 October 2014

Positive Rukwa Definitive Mining Feasibility Study ("DMFS") Supports Commencement of Power Feasibility Study

Highlights

·           Phase 1 Stage 1 of Rukwa DMFS completed ahead of schedule;

·           Positive outcome of Phase 1 Stage 1 of DMFS allows initiation of Rukwa Power Pre-Feasibility Study

Kibo Mining plc ("Kibo" or the "Company"), the mineral exploration and development company focused on gold, nickel, coal and uranium in Tanzania, is pleased to announce that technical work for Phase 1 Stage 1 of the Rukwa DMFS has been completed ahead of schedule. The Company is now awaiting the final technical report which is expected to be ready by the end of November 2014.

The positive results obtained from the work done on the Rukwa DMFS to date has prompted the Company to  immediately proceed with the Pre-Feasibility Study for the 300 MW coal fired power plant included in the Rukwa Coal to Power Project ("RCPP"). The Pre-Feasibility Study on the power plant will be conducted in two Phases. Phase 1 of the Pre-Feasibility Study is expected to be completed by the end of November, allowing the Company to deliver a comprehensive, fully integrated, independent Scoping Study (i.e. mining and power) for the RCPP, by early December 2014.     

Louis Coetzee, C.E.O. of Kibo Mining, commented: "The rapid progress we have made and the strongly positive results from the feasibility work on the RCPP to date, has substantially enhanced the Company's ability to finalize a robust and commercially sound transaction with a suitable development partner."

Kibo Mining - Notes to editors

Kibo was established in early 2008 to explore and develop mineral deposits in Tanzania. The Company was admitted to AIM in London on 27 April 2010 and the AltX in Johannesburg on 30 May 2011. The Company is developing the Rukwa mouth-of-mine thermal power station and controls one of Tanzania's largest mineral right portfolios, including the  Haneti (nickel, PGE and gold), Morogoro (gold), Lake Victoria (gold), and Pinewood (coal & uranium) projects.

Kibo's projects are located both in the established and gold prolific Lake Victoria Goldfields, the emerging goldfields of eastern Tanzania and the Mtwara Corridor in southern Tanzania, where the Government has prioritised infrastructural development, attracting significant recent investment in coal and uranium.

Kibo's objective is to build shareholder value sustainably. This will be achieved primarily through exploration of its own projects and leveraging the Company's experience in Tanzania to acquire exploration and development assets on competitive terms. The focus is on assets that can be moved swiftly up the value curve whilst benefitting from strategic relationships with industry leaders with special skills and competencies within their chosen fields.

Updates on the Company's activities are regularly posted on its website www.kibomining.com   

Technical Data

RUKWA COAL RESOURCE SUMMARY- GEMECS (Pty) Ltd
	SEAM	NI 43-101	IN SITU
SEAM	THICKNESS METRES	CLASS	MILLION TONS
S4	1.14	Indicated	2.17
S3U	2.04	Indicated	6.92
S3L	2.3	Indicated	12.63
S2	3.45	Indicated	23.43
S1U	2.48	Indicated	7.34
S1L	2.92	Indicated	17.4
S0	1.08	Indicated	1.44
Total Indicated Resources			71.34
S4	1.31	Inferred	1.38
S3U	2.24	Inferred	2.94
S3L	2.27	Inferred	3.86
S2	3.42	Inferred	7.94
S1U	2.05	Inferred	6.5
S1L	3.15	Inferred	12.83
S0	1.06	Inferred	2.6
Total Inferred Resources			38.05
TOTAL RESOURCES			109.39

Kibo holds 100% of the Rukwa Coal Project

Review by Qualified Person

The information in this announcement that relates to the Rukwa coal Mineral Resource is taken from a report titled "Independent Technical Report for the Rukwa Coal Project, Mbeya Region, United Republic of Tanzania" dated 19^th April 2012 by CD van Niekerk Director and Principal Geologist with  the firm GEMECS (Pty) Ltd. Mr van Niekerk is a Professional Natural Scientist with the South African Council for Natural Scientific Professions (SACNASP), Registration No. 400066/98 and a Fellow Member of the Geological Society of South Africa. He has relevant experience and technical qualifications to be a "Qualified Person" for reporting coal resources to the NI 43-101 Standard. The Company's Exploration Director, Noel O'Keeffe has also reviewed the technical reports and the references to them in this announcement.

            Contacts

Louis Coetzee	[phone]	Kibo Mining plc	Chief Executive Officer
Andreas Lianos	[phone]	River Group	Corporate Adviser and Designated Adviser on JSE
Jon Belliss Abigail Wayne	[phone]	Hume Capital Securities Plc	Broker
Oliver Morse Trinity McIntyre	[phone] [phone]	RFC Ambrian Limited	Nominated Adviser on AIM
Daniel Thöle Lydia Eades	[phone] [phone]	Bell Pottinger	Investor and Media Relations

Johannesburg

28 October 2014

Corporate and Designated Adviser

River Group

 

END

 

 

DRLMPBRTMBITMMI