Rationalization of Lake Victoria Early Stage Licence Portfolios
02 June 2017
Kibo Mining plc (“Kibo” or the “Company”) (AIM: KIBO; AltX: KBO), the Tanzania focused mineral exploration and development Company, is pleased to announce that following a comprehensive technical and commercial review of its mineral licence portfolio in Tanzania it has relinquished several early stage non-core prospecting licences, licence offers and licence applications (together “the Licences”) in the Lake Victoria Region. This relinquishment (the “Rationalization”) is in line with the Company’s strategy to focus resources on its MCPP development projects (coal mining & coal to power), Haneti project (nickel), and the Imweru & Lubando projects (gold) held by Katoro Gold PLC (“Katoro”) in which Kibo is a 57.1% shareholder.
Lake Victoria Project
The Rationalization was carried out as part of the process of facilitating the spin-out of Kibo’s key gold resource based projects, Imweru and Lubando in the region, to Katoro (admitted to trading on AIM on 23 May 2017). The effect of the Rationalization is that the Company has now surrendered most of its early stage gold Licences in the Lake Victoria Goldfields (“LVG”) of northern Tanzania and its sole remaining gold interests in this region are in the greater Imweru and Lubando licence portfolios through its majority interest in Katoro. Altogether 79 Licences were surrendered constituting a total Licence area of approximately 800 km2. The surrendered Licences cover various non-contiguous single Licence and small Licence blocks scattered throughout the LVG. All the Licences are at a very early stage of exploration and no longer contribute towards the Company’s strategic development objectives.
Maps showing the Company’s updated Licence holdings in the Lake Victoria Region following the Rationalization can be found within the Lake Victoria project page on the Company’s website www.kibomining.com.
Louis Coetzee, CEO of Kibo Mining, said: “Rationalization of our Lake Victoria project is a result of a continuous in-house evaluation of our mineral portfolios to ensure they are aligned with and positively support and contribute towards our corporate development strategy. The significant cost savings and additional availability of resources from this rationalization will be re-assigned to our flagship MCPP and Haneti nickel projects.”