Heads of Agreement signed for Kilimapesa Gold Project - Kenya
Goldplat PLC, through its wholly owned subsidiary Gold Mineral Resources Limited, has signed a Heads of Agreement with International Gold Exploration AB ('IGE') to purchase the 50% interest in Kilimapesa Gold (Pty) Limited ('Kilimapesa Gold'),which it does not currently own. The consideration for the acquisition will be US$2.7 million, of which US$1.2 million is payable on signature of the definitive Sale Agreement, and the balance in six monthly amounts of US$250,000. The parties have agreed to draft and conclude the Sale Agreement as soon as practicable.
Goldplat and IGE entered into a Joint Venture agreement in June 2007 under which Goldplat earned 50% of Kilimapesa Gold by advancing US$400,000 to develop the Kilimapesa gold mine under Goldplat's management. This resulted in small scale gold production commencing at the beginning of 2009. With effect from the date of the Sale Agreement, the Joint Venture agreement will be cancelled, and Goldplat will own 100% of Kilimapesa Gold. As previously announced, Goldplat is working to establish a JORC compliant resource at Kilimapesa and increase the rate of production of gold.
Kilimapesa Gold's Lolgorien gold project is situated in South Western Kenya within the historically producing Migori Archaean Greenstone Belt. Its current plant is able to produce up to approximately 100kg gold per annum.
The consideration for the acquisition of Kilimapesa Gold will be met from Goldplat's existing cash resources. Following completion of the Sale Agreement, Goldplat will finalise and announce its plans for the development of Kilimapesa Gold.
For further information visit www.goldplat.com or contact:
Demetri Manolis, CEO Goldplat plc, Tel: +27 11 423 1203, Mob: +27 82 454 7392
James Joyce WH Ireland Limited, Tel: +44 (0)20 7220 1666
Bill Sharp / David Scott Alexander David Securities Limited, Tel: +44 (0)20 7448 9820
Felicity Edwards / Hugo de Salis St Brides Media & Finance Ltd, Tel: +44 (0)20 7236 1177
Goldplat plc is an AIM-listed gold producer with operations in Africa . Its strategy is to consolidate its position as a gold producer in Africa and build itself into a highly profitable mid-tier gold company, leveraged through revenue generated from its gold recovery businesses.
The Company has two recovery businesses based in South Africa and Ghana, which, by safely disposing mining by-products, fulfil an important aspect of the mines' environmental management programmes. The South African plant is located near the centre of the East Rand Goldfield and raw material feedstocks are sourced from many of the major South African mining companies, including Anglogold Ashanti , Goldfields, Harmony, DRD Gold and other smaller producers. The Ghana plant, located in the free port of Tema, provides access to raw materials from mines in Mali , Guinea , Burkina Faso , Benin , Cote D'Ivorie, Senegal , the DRC and Mauritania , as well as Ghana .
Goldplat's strategy is to build itself into a highly profitable mid-tier gold producer, through the acquisition of known deposits with targets of between 200,000 and one million contained ounces. To this end, it is developing the potential of the 213 sq km Lolgorien licence area ('Kilimapesa Gold'), located in the historically producing Migori Archaean Greenstone Belt in western Kenya. Kilimapesa Gold commenced initial production in January 2009 and an aggressive exploration and development programme has been implemented to define a JORC compliant resource at the project.
Additionally the Company is currently evaluating gold recovery operations in Tanzania and Zambia and also has joint venture agreements with Black Economic Empowerment ('BEE') partners in place to take advantage of mining opportunities in South Africa .
Goldplat is a profitable, African gold recovery services company . . .More info...
Goldplat has two profitable gold recovery businesses in South Africa and Ghana . . .More info...
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