The combination of the two projects allows for early gold production
Tembo Gold Corp (TSXV:TEM; FRA: T23A) announces progress on the acquisition of the Dora Project in Tanzania on its path to becoming a mid-tier gold producer. The company has now made the payment agreed in the purchase agreement and expects the transfer of the Prospecting Licence (“PL”) to be completed in the first quarter of 2024. The Dora project borders the Imwelo Mining Licence (“ML”) to the west, east and south, which Tembo is also acquiring.
Geologically, the Imwelo and Dora licences are closely linked. The mineralised structures run from the Imwelo ML into the Dora PL. The ML Imwelo hosts a historical resource of 291,600 ounces Au at 1.92 g/t (137,700 @ 2.32 g/t Au in the indicated category & 94,569 @ 2.24 g/t Au in the probable reserve category.) The PL Dora hosts indicated resources of 90,800oz Au at 1.19 g/t and inferred resources of 424,310oz Au at 1.43 g/t. The PL Dora extends the known and potential strike of ML Imwelo mineralisation by 6km to the west, with several east-west trending parallel structures potentially extending this strike.
Tembo geologists see great potential for future resource growth on both licences along strike extensions of known mineralisation and at depth. The Dora licence could later allow for expanded production and a longer life for the Imwelo project, and Tembo intends to commence exploration once the licence transfer is completed and the necessary funding is in place. In doing so, the geologists hope to deliver important extension studies for the Imwelo mine development project. A number of targets identified by soil geochemical anomalies within the PL provide additional future targets for follow-up exploration.
Simon Benstead, Executive Chairman & CFO, commented: “The acquisition of the Dora Project is a perfect complement to the Imwelo Project and provides Tembo with the opportunity to develop two prospective properties that have the potential for significant district scale upside. The combination of the two projects is consistent with the Company’s commitment to build a diversified portfolio of high quality development and near-term production assets with high return potential for all shareholders.
CEO & Director Marc Cernovitch, added: “The historic resource of 500,000 ounces on the Dora licence allows Tembo/LVG to proceed with a feasibility study through to mining licence. The combination of the two projects allows for early gold production and an increase in production over the next 5 years with the aim of becoming a mid-tier gold company.”
Tembo Gold is leveraging its unique position and experience in Tanzania to consolidate projects in the prolific Lake Victoria Goldfield in Tanzania. Barrick Gold is a shareholder of Tembo. In addition, the company has recently entered into a strategic partnership with the Taifa Group. The Taifa Group is a diversified group of companies with interests in mining, telecoms, oil and gas, agribusiness, pharmaceuticals and leather, among others. The wholly owned subsidiary Taifa Mining will carry out all contract mining and construction works for the Imwelo project. Taifa Mining is the largest mining company in Tanzania with over 30 years of mining experience. Taifa is the contractor of choice for most mines in Tanzania and has long-standing and successful relationships with companies such as Petra, De Beers, Barrick and AngloGold Ashanti. Taifa also owns the largest fleet of mining equipment in Tanzania. As a company, Taifa is committed to adopting and adhering to the latest internationally recognised standards in all aspects of its operations.
Conclusion: Tembo Gold has been active in Tanzania for more than 10 years and is one of the very few remaining juniors in the country. Through its association with Barrick Gold and the Taifa Group, the company is well placed to capitalise on the opening up of the country under President Samia Suluhu Hassan. Management, directors and partners hold more than 60 % of the shares.
Disclaimer: GOLDINVEST Consulting GmbH offers editors, agencies and companies the opportunity to publish comments, analyses and news on http://www.goldinvest.de. This content is intended solely for the information of readers and does not represent any kind of call to action; neither explicitly nor implicitly are they to be understood as a guarantee of any price developments. Furthermore, it is in no way a substitute for individual expert investment advice and does not constitute an offer to sell the share(s) in question or a solicitation to buy or sell securities. This is expressly not a financial analysis, but an advertising/journalistic text. Readers who make investment decisions or carry out transactions on the basis of the information provided here do so entirely at their own risk. No contractual relationship is established between GOLDINVEST Consulting GmbH and its readers or the users of its offers, as our information relates only to the company and not to the reader’s investment decision.
The acquisition of securities involves high risks that can lead to the total loss of the capital invested. The information published by GOLDINVEST Consulting GmbH and its authors is based on careful research, but any liability for financial losses or the guarantee of the topicality, correctness, appropriateness and completeness of the articles offered here is expressly excluded. Please also note our terms of use.
According to §34b WpHG and §48f Abs. 5 BörseG (Austria) we would like to point out that GOLDINVEST Consulting GmbH and/or partners, clients or employees of GOLDINVEST Consulting GmbH hold shares in Tembo Gold and therefore a conflict of interest exists. GOLDINVEST Consulting GmbH also reserves the right to buy or sell shares in the company at any time. In addition, there is a contractual relationship between Tembo Gold and GOLDINVEST Consulting GmbH, which involves GOLDINVEST Consulting GmbH reporting on Tembo Gold. This is another clear conflict of interest.
