Name and Location
Kibali gold mine, Orientale province, Democratic Republic of Congo (DRC).

Client
The Kibali joint venture comprises Randgold Resources (45%), AngloGold Ashanti (45%) and DRC State-owned mining company Société des Mines d’Or de Kilo-Moto (10%). Randgold is the developer and operator of the mine.

Project Description
The Kibali operation will comprise an integrated underground and openpit mine, a twin-circuit sulphide and oxide plant with a throughput of six-million tonnes a year, four self-constructed hydropower stations and a standby high-speed thermal power generator for backup during the dry season.

The mine was constructed over two overlapping phases.

Phase 1 covered the metallurgical plant; the first phase of the tailings storage facility; the construction of a hydropower station, a backup thermal power plant, construction of the tailings storage facility; openpit mining; all shared infrastructure; and the completion of the community resettlement programme.

Phase 2 involves the development of the underground mine, including a twin decline and single-shaft vertical system, and three hydropower stations.

The current life-of-mine plan envisages an average yearly output of about 600 000 oz for the first 12 years, with an average grade of 4.1 g/t and 12-million ounces in reserves.

Value
Kibali represents an initial investment of $1.77-billion by Randgold and AngloGold Ashanti.

Duration
Phase 1 ran from the first quarter of 2012 to the first quarter of 2014.

Phase 2 is expected to deliver first ore in 2014 and to complete the vertical shaft sinking in 2016.

Latest Developments
After the ceremonial opening of Kibali gold mine by the DRC’s Mines Minister in May, Rangold says that, despite dealing with some ramp-up issues, the mine is on track to produce 550 000 oz of gold in 2014.

The company says the mine is still a work in progress and is dealing with the challenges associated with ramping up a mine of this size and complexity.

“The current focus is on ensuring that the metallurgical plant will achieve its designed throughput and recovery rates, and with the secondary sulphide circuit now being commissioned and optimised, we’re almost there. We have also completed the Nzoro hydropower facility, with the first two turbines running and the remaining two expected in the third quarter. The focus is now on synchronising it with the diesel power plant,” says CEO Mark Bristow.

While openpit mining is proceeding as planned, development of the underground mine is also progressing well and first ore has been accessed slightly ahead of schedule.

Kibali has agreed with the provincial governor on a public works programme for the running of Kokiza, the model town established to accommodate the villagers resettled from the site. All tsakeholders support the programme. The Catholic Church, the last project in the resettlement programme, is scheduled to be complete in the current quarter.

Further, Randgold, along with Kibali’s management, continues to engage in a dialogue with the DRC government regarding the country’s mining code and has been assured that the official undertakings given to the project’s investors will be respected in any revision.

Key Contracts and Suppliers
Byrnecut (underground development); Shaft Sinkers (vertical shaft development); DTP (openpit mining) and DRA (metallurgical facility design and engineering, procurement and construction management).

On Budget and on Time?
Kibali was successfully commissioned ahead of schedule and within budget on September 24, 2013, with gold sales starting the following month.

Contact Details for Project Information
Randgold Resources, tel +44 20 7557 7738 or email randgold@dpapr.com.