Name and Location
Kibali gold project, 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 project is being constructed over two overlapping phases.

Phase 1 covers 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 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 average yearly output of about 600 000 oz for the first 12 years, with an average grade of 4.1 g/t.

Value
Kibali represents an initial investment of $1.7-billion by Randgold and AngloGold Ashanti.

Duration
Phase 1 will run from the first quarter of 2012 to the fourth quarter of 2013.

Phase 2 is expected to deliver first ore in 2014 and to reach steady-state production by 2015.

Latest Developments
The Kibali gold project has successfully started production ahead of its original year-end target and is still in line with capital forecasts.

The mine is expected to comfortably surpass its production target of 30 000 oz for 2013, and is on track to meet next year’s forecast of 550 000 oz.

Gold sales are scheduled to start next month when the circuit is in a steady state.

The sulphide circuit will be commissioned in the second quarter of 2014.

Phase 2, which is running concurrently with Phase 1, but extends to 2016, will include completing the underground mine, where development is already well advanced.

The underground mine is scheduled to access first ore in early 2015, with stoping operations starting later in that year. Kibali will also commission four hydropower facilities during the two phases to allow the mine to access low-cost energy from the abundant hydropower potential in the DRC.

The relocation programme, which  involved resettling more than 4 000 households in 14 villages on the Kibali site to a new model town, Kokiza, has also been completed on schedule. The administration of Kokiza is  being handed over to a local administration.

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?
The project remains on track to deliver first gold in the fourth quarter of 2013.

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