Haneti comprises 21 mineral rights prospective for nickel, platinum-group-elements and gold. It covers an area of 7,100 square kilometres in central Tanzania. The project area straddles the Dodoma, Kondoa and Manyoni districts all within the Dodoma (Administrative) Region.

The main prospective belt of rocks within the project, the Haneti-Itiso Ultramafic Complex (HIUC), is centred on the small town of Haneti, located 95 kilometres north of Tanzania’s capital city Dodoma . The HIUC sporadically crops out over a strike length of 80 kilometres with most extensive areas of outcrop occurring 15 kilometres east of Haneti Village where artisanal mining of the sem-precious mineral Chrysoprase (nickel stained chalcedonic quartz) is being carried out at a few localities. The rocks of the HIUC comprises serpentinites (metamorphosed ultrabasic rocks e.g. dunite, peridotite), in parts highly silicified, and standing out as small hills on a flat peneplain. These serpentinites are commonly associated with outcrops of metabasic rocks (metagabbro and metadolerite) which being very hard rocks also stand proud. The HIUC is intruded into gneisses of the Paleo-Proterozoic Usagaran System close to the NE margin of the Archaean Dodoman System which locally comprises granite and granodiorite. Within the project block the Usagaran and Dodoman Systems are in fault contact along a 5-25km wide ductile shear zone represented by sheared granitoids called the Bubu Cataclasites.

Bordering the Haneti block to the west, a new greenstone belt, the Londoni Greenstone Belt has been discovered in recent years within the Archaean Dodoman System. AIM-listed Shanta Mining Plc has published a resource of approximately 1 million ounces at a grade of 1.5 grams per tonne from a number of small prospects over a 6 kilometre strike length in this area. This greenstone geology extends southeast in to the Haneti project where recent work by another company Kilimanjaro Mining Company Ltd is reporting positive gold exploration results from mining claims that occur within the Haneti prospecting licence offer area, PLA 1162.

Exploration by Sloane Developments Ltd (a wholly owned subsidiary of Kibo) in 2006 and 2007 over this geological unit comprised, rock sampling, soil sampling, geological mapping, geophysical surveys and petrographic analyses.

Rock samples taken from outcrop, spoil heaps, trenches and pits produced numerous high nickel values with highest values seen in saprolite developed on serpentinite. The best multi-metal rock sample result came from a magnetite rich rock outcrop in an old prospecting pit on Mihanza Hill with values of 13.59% nickel, 0.25% Cobalt, 78 ppb (parts per billion) gold, 413 ppb platinum, 1930 ppb palladium and 927 ppm (parts per million) copper. The high nickel associated with platinum and palladium make this a priority area for follow-up work including drilling to test for more extensive primary nickel and platinoid mineralisation at depth.

Soil geochemical sampling on 400m X 200m centres covering an area of 38 square kilometres was carried out over an area broadly coincident with the rock sampling areas. Geochemical analyses was carried out for a number of metals and results showed significant nickel enrichment in regolith above serpentinites on the hilltops. There is good correlation between nickel, cobalt, copper, gold and arsenic. An unexpected result from the regional soil sampling was the highly anomalous gold values at some locations. The best gold values were at Mwaka Hill where follow-up detailed soil sampling results produced a multi-metal soil geochemical anomaly with gold values in the range 50-1,200 ppb. These results significantly enhance the gold prospectivity of the area.

Further results from geological mapping , geophysical surveying and external consultants reports have also confirmed the potential of the project for primary and laterite nickel deposits and platinoid mineralisation.

There is little detailed information on the extent and nature of this recently discovered greenstone belt but information from companies working in the area indicates a northwest-southeast trending zone of sheared greenschist and mafic dykes within which occur auriferous quartz veins. The presence of significant artisanal mining activity on the belt and within PLA 1162 in the western part of the Haneti project indicates that gold is being recovered. Kibo has not carried out any work in this area to date due to the significant artisanal mining activity and while it awaits issue of the prospecting licences under offer to it.

Exploration results during 2011  in the Haneti Hills area gave  trench values of 0.4% nickel over 93m at Mwaka Hill and 0.26% nickel over 80m at Mihanza Hill confirming the nickel potential of these areas. Soil sampling results also showed widespread high anomalous nickel (and cobalt)  at Kwahemu Hill. The Company has  re-commenced field exploration at Haneti to follow up on these results by extension of soil sampling, trenching, pitting and geological mapping. The initial focus will be to evaluate the nickel laterite potential of the Haneti Hills area and then the sulphide nickel potential by implementation of both ground and aerial geophysical surveys. The objective of this work is to resolve drill tragets for testing  later in 2012. There is much potential for the discovery of mineralisation along the 80 kilometre length of prospective ultramafic rocks most of which remain to be explored and this will require systematic field exploration over some time.

Kibo will continue to investigate the gold potential in the western part of the Haneti block in 2011/2012. This is logistically challenging as the Company will first have to assess the number of valid mining claims in the area and negotiate with claim holders for access where required. The Company will work in co-operation with the Ministry of Energy and Minerals in resolving access and title issues in this area and in negotiating with artisanal miners as there may be dual issue of mineral rights over parts of PLA 1162, the westernmost licence in the Haneti project. Notwithstanding these areas of potential dispute within PLA 1162, there is a large area of ground within the Archaean Dodoman System in the middle and western parts of Haneti whose prospectivity has been significantly enhanced by the recent discovery of the gold mineralised Londoni Greenstone Belt whose full extent has not yet been defined. Recent mapping by the Company has identified greenstone rock assemblages around the village of Meia-Meia on the southwestern border of the Haneti block which appear to be the continuation of the Londoni Greenstone Belt.