JOHANNESBURG (miningweekly.com) – The two remaining components of Randgold Resources’ Kibali gold mine – its underground shaft system and a third hydropower plant – are both on track.
The underground shaft system is expected to be commissioned this quarter, with the underground mine to produce about 2.2-million tonnes of ore this year.
A third hydropower station Azambi is expected to be commissioned in 2018. It, along with the Nzoro II and the Ambarau hydropower stations, will contribute to reducing power costs at the mine.
CEO Dr Mark Bristow this week said that while the Kibali mine, in the Democratic Republic of Congo (DRC), was working towards delivering the underground mine, it was also maintaining a steady operational performance and, as reported at the end of the first quarter, was well positioned to meet its production target of 610 000 oz of gold this year on the back of better grades forecast from the underground ramp-up, particularly in the fourth quarter.
He also pointed to ongoing brownfield exploration that was showing potential to add resources and reserves going forward.
Meanwhile, Bristow reiterated that open and inclusive consultation with the mining industry is needed, as the DRC embarks on a review of its mining code.
“The mining industry is the main engine of the Congolese economy. Government and the private sector must work together to find the best way of growing this industry and to avoid potentially damaging short-term actions by realistically considering their consequences,” he said.
Bristow said despite Randgold’s concerns about proposed revisions to the mining code and other challenges in the DRC, it was continuing to invest in the country. In addition to ongoing exploration along Kibali’s KZ structure, work was progressing on the Moku project and the Ngayu belt.
Bristow also pointed out that Kibali had contributed $2.2-billion to the Congolese economy in the form of taxes, salaries and payments to local suppliers since the project was launched in 2010.
The mine, which is a joint venture between Randgold, AngloGold Ashanti and Société Minière de Kilo-Moto, and operated by Randgold, started production in 2013 and has repatriated more than 40% of its gold sales revenue since first production in 2013, meeting and exceeding the requirements of the country’s mining code.