Name of the Project
Singida gold mining project.

Location
Central Tanzania.

Project Owner/s
Shanta Gold.

Project Description
The Singida gold mining project aims to produce 26 000 oz/y of gold openpit mining over an initial six-year period.

Project economics estimated in house provide for the processing of 2.4-million tonnes of ore from surface mining at an average grade of 2.3 g/t for the production
of 158 000 oz of recovered gold over the mine’s life.

Total inferred resources that are currently outside of the project economics amount to 6.57-million tonnes grading at 1.63 g/t of gold for 344 000 oz.

These resources can potentially benefit from further exploration, have been prioritised for further evaluation and have the advantage of being situated within the current mining licence areas, with close proximity to the proposed processing plant.

The project economics are currently designed to maximise mill throughput during the first five years of production and, as such, any resource conversion has the potential to extend the mine life beyond the initially expected six-year period.

Potential Job Creation
Not stated.

All-in Sustaining Costs/All-in Costs
Not stated.

Net Present Value/Internal Rate of Return
The project has a net present value, at an 8% discount rate, of $31-million and an internal rate of return of 67%.

Capital Expenditure
Preproduction capital expenditure is estimated at $16-million.

Planned Start/End Date
Not stated.

Latest Developments
The Joint Ore Reserves Committee- (Jorc-) compliant mineral resource of the Singida gold project has increased by 27% to 919 000 oz at 2.25 g/t.

This compares with the previous estimate of 725 000 oz of gold at 1.84 g/t.

Measured and indicated resources have increased by 8% to 412 000 oz at 2.63 g/t, while the inferred resources have increased by 48% to 507 000 oz at 2.01 g/t.

The measured and indicated resources grade has increased by 26% and the inferred resource grade by 23%.

An independently verified Jorc-compliant reserve will be declared in March, alongside the publication of an updated life-of-mine plan with an enhanced project net present value.

Contact Details for Project Information
Shanta Gold (Tanzania), tel +255 22 292 5148, fax +255 22 292 5151 or email mining@shantagold.com or info@shantagold.com.