Pan African Resources updates on Royal Sheba Project

Mine layout optimisation and scheduling was finalised and requests for quotations were issued for the initial development and production activities. Preliminary optimisation work for the life-of-mine (LOM) planning has been completed at a cut-off grade of 1.7g/t, which translates into an average mining grade of approximately 3.0g/t and circa 235,000oz of gold recovered over the life of the project, with the orebody open at depth.

DRA Global has finalised the feasibility study for placing a crushing and milling circuit at the Royal Sheba Mine site, together with the design to enable slurry pumping from the milling plant at Royal Sheba to the BTRP. The processing plant’s feasibility study and the project’s financial model is being updated and reviewed. A phased approach to capital spending, based on the availability of material to feed the BTRP plant, is also being considered. This will entail the phased development of the decline, production levels, as well as the ventilation infrastructure required for initial stoping operations.

First stoped ore is planned in 2025 at 5,000t per month, ramping up to 10,000t, 30,000t and 45,000t per month, every twelve months thereafter in line with a set lateral and vertical development schedule. A trucking cost trade-off analysis indicates that the onsite crushing and milling circuit and pipeline will only be required to be completed once production rates reach 45,000t per month. The internal feasibility study for the complete project is expected to be completed in the next months.