By Proactive Investors
Caledonia Mining Corporation PLC has bought Motapa Mining, which holds a registered mining lease over exploration property in Southern Zimbabwe adjacent to the Bilboes gold project, which it is in the process of acquiring.
No price was disclosed but it was below the regulatory disclosure threshold, Caledonia said. Privately owned Bulawayo Mining is the vendor.
Motapa was formerly owned and explored by Anglo American Zimbabwe and is situated 75km north of Bulawayo with a mining lease covering approximately 2,200 hectares.
Historical mining in the region has produced as much as 300,000oz of gold, Caledonia said, adding the workings will be a guide for future exploration.
Mark Learmonth, Caledonia’s chief executive, added: “We are pleased to have concluded the purchase of Motapa.
“Given its large scale, excellent geological prospectivity and its strategic location adjacent to Bilboes, Motapa was a high-priority acquisition for Caledonia.
“We look forward to developing an exploration program for Motapa as we target a large-scale gold belt surrounding the Bilboes project.
“With the central shaft at Blanket now fully operational and production targeting 80,000 ounces of gold per year, we anticipate that we will deploy the incremental cash flow arising from Blanket into our exciting exploration and project development portfolio in Zimbabwe.”