Tanzanian hires Stamico for Buckreef phase 1 drilling
TANZANIAN ROYALTY Exploration Corp.’s board of directors has selected Stamico and Core-worthy to complete phase 1 of its planned three-phase drill program. Total metres to be drilled in all phases are expected to amount to approximately 30,000. The three-phase drill program is being planned and directed by Ulrich Rath, chair of the company’s technical committee.
Phase 1 will be approximately 4,500 metres of infill drilling, designed to upgrade existing inferred ounces within the proposed open pit and to begin testing of the deep contact below the open pit. Phase 2 will continue to delineate and test the continuity and extent of the deep contact. Phase 3 work will be based upon information received from phases 1 and 2.
This three-phased drilling program has been designed to add significant overall value, as well as to improve the already robust economics of the Buckreef project.
“We already know Buckreef is a great mine, and it will be prosperous. The drilling of the deep contact will reveal if we have a world-class mine, along the lines of Bulyanhulu. We are excited,” said James E. Sinclair, executive chairman.
Financing requirements for the drill program are budgeted per phase. The company is raising capital for phases 2 and 3. Use of funds will be strictly limited to authorized, approved and necessary expenses. The company does not require large financing. The results will drive future development, demonstrate value-added improvements in project economics and gain critical insight into the potential underground resource, which makes this program extremely accretive in nature.
The company has complied with the bidder prequalification process as required by the 2018 Tanzanian local content regulations, and has tendered requests for proposal (RFPs) to qualified drilling contractors. With this selection of the contractors by the board of directors, parts B and C of the 2018 local content regulations can be completed and submitted. After approval by the mining commission, phase 1 of the program can proceed. Planned mobilization by both contractors to the site will be on or before Jan. 25, 2019. The proposed work is to take approximately 45 days to complete. Delays to the start of this timeline, if any, would be attributable to additional requirements by the mining commission.
Additional information on the Buckreef project can be found in the June 26, 2018, report. Tanzanian Royalty Exploration, the operator of Buckreef Gold Company (BGC), released a Canadian National Instrument 43-101 prefeasibility report by Virimai Projects on the Buckreef project. Copies of this report can be found on the company website, as well as on SEDAR. This report is an independent mine design and costing prefeasibility
study (PFS) of the Buckreef gold mine project, located in the Lake Victoria Goldfields, Geita district, in north-central Tanzania.
In the Canadian NI 43-101 report, Virimai recommended an infill drilling program. This critical first phase itself has two purposes. Within the currently conceived open pit, this program will upgrade the minable ounces, moving as much as possible of the current inferred resources to the measured and indicated categories and move some indicated resources to measured resources. Most importantly, high priority will be given to conduct drilling to confirm the previously known strong intersections and grades from deep holes and begin to test the deposit at depth and for potential as an underground mine.
“These next few months will be an exciting time for the company. Our team has done an outstanding job planning this program. We are drilling into a known asset and are able to specifically target the holes on the infill drilling, allowing an easy upgrade of the minable ounces. While that work will be extremely accretive to the Buckreef project, the company is especially interested to see the results from the deep contact. Mr. Sinclair was the founder of the Bulyanhulu mine. He has done this before. By all appearances, he is doing it again,” said Jeffrey Duval, acting chief executive officer.
We seek Safe Harbor.
Norman Murray Betts, William Harvey, Rosalind Morrow, Trust Co Olympia, Ulrich E G Rath, James E Sinclair
(TNX) Shares: 125,162,803