Caledonia Mining is expected to produce between 87,500 and 97,000 ounces of gold from the Blanket Mine and Bilboes oxides project in Zimbabwe.
The mining of the small oxides project is expected to begin in February, and the company will start extracting gold from the heap leach process in March.
The Blanket Mine will contribute a larger share of the output with a projection of 75,000 to 80,000 ounces, while Bilboes is expected to contribute between 12,500 and 17,000 ounces.
“Production guidance for 2023 assumes that Blanket will broadly maintain the production rate achieved in 2022,” said company chief executive Mark Learmonth.
Caledonia registered record gold production in 2022 of 80,775 ounces, a 19.7% increase on the 67,476 ounces produced in 2021.
Meanwhile, the gold miner said capital expenditure at Blanket in 2023 includes about $9.6 million for a new tailings facility (reflecting tightened regulatory requirements) and a further $9.8 million of deep-level capital development so that operations can be maintained in future years.
Caledonia expects $2 million will be incurred this year in the preparation of a revised feasibility study for the larger sulphide project at Bilboes.
In addition, the cost of the projected capital expenditure for the group is expected to be met from operating cashflows and in-country borrowings.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
The mining of the small oxides project is expected to begin in February, and the company will start extracting gold from the heap leach process in March.
The Blanket Mine will contribute a larger share of the output with a projection of 75,000 to 80,000 ounces, while Bilboes is expected to contribute between 12,500 and 17,000 ounces.
“Production guidance for 2023 assumes that Blanket will broadly maintain the production rate achieved in 2022,” said company chief executive Mark Learmonth.
Caledonia registered record gold production in 2022 of 80,775 ounces, a 19.7% increase on the 67,476 ounces produced in 2021.
Meanwhile, the gold miner said capital expenditure at Blanket in 2023 includes about $9.6 million for a new tailings facility (reflecting tightened regulatory requirements) and a further $9.8 million of deep-level capital development so that operations can be maintained in future years.
Caledonia expects $2 million will be incurred this year in the preparation of a revised feasibility study for the larger sulphide project at Bilboes.
In addition, the cost of the projected capital expenditure for the group is expected to be met from operating cashflows and in-country borrowings.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
