Name and Location
Mpokoto gold project, Katanga province, Democratic Republic of Congo.

Client
Armadale Capital.

Project Description
The Mpokoto project has a current total mineral resource of 678 000 oz of gold from 14.58-million tonnes grading 1.45 g/t of gold at a cutoff grade of 0.5 g/t to produce about 25 000 oz/y over a nine-year life-of-mine.

As part of the definitive feasibility study for Mpokoto, Armadale announced in August 2015 the completion of a review of all previous metallurgical testwork for the project. Based on the review and recent results, Armadale selected a process route for the first stage of the project.

Phase 1: when the bulk of the ore feed is weathered and deeply oxidised, the plant will perform scrubbing and milling, with a batch Knelson concentrator to recover free gold and flotation from the Knelson tailings. The flotation concentrate will be intensively cyanided.

Phase 2: as the amount of weathered ore decreases and the proportion of transitional and fresh ore increases, a regrind ball mill will be added to the grind flotation concentrate and a carbon-in-leach (CIL) circuit will be added to leach the flotation tailings.

Net Present Value/Internal Rate of Return
The project has a current net present value of $32.3-million, based on a forecast gold price of $1 100/oz.

Value
Not stated.

Duration
Construction is expected to start in December 2015.

The project is targeting an estimated 25 000 oz/y of gold over an initial nine-year life-of-mine starting in the first half of 2016.

Latest Developments
Armadale decided in September to undertake additional metallurgical testwork in the fourth quarter to further optimise the identified two-phased processing routes for gold recovery.

The results of the testwork will support the definition of future drill targets to further enhance the project’s 678 000 oz gold resource.

Meanwhile, the feasibility study is progressing well, with completion targeted for the fourth quarter of this year.

Key Contracts and Suppliers
Bara Consulting (DFS).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Armadale chairperson Peter Marks, tel +61 3 9824 8166, fax +61 3 9824 8161 email pmarks@armadalecapitalplc.com.