Caledonia Mining Corporation PLC says the acquisition of Bilboes Gold, the owner of the Bilboes Gold Project “transformational” and will be a cornerstone of the organization’s strategy.
CEO Mark Learmonth said the size, grade and cheapness of the asset attracted the company. He highlighted that the asset will be a series of open pit operations.
Caledonia Mining is a profitable cash-generative gold producer with a strong growth profile; Caledonia’s primary asset is the Blanket Mine in Zimbabwe.
According to Caledonia Mining Bilboes is a large, high-grade sulphide deposit which is amenable to low-cost, open-pit operations. A feasibility study on the Bilboes project which the Bilboes vendors have prepared envisages the production of approximately 168,000 ounces of gold per annum over a 10-year life.
