Lake Victoria Mining seeks mining license for Kinyambwiga gold project

21 January 2014 (Last Updated January 21st, 2014 18:30)

Lake Victoria Mining Company has submitted an application to the Ministry of Energy and Minerals of Tanzania license department for mining and processing to commence a medium-scale gold mine at the company's Kinyambwiga gold project at Kanunga Village, Tanzania.

Lake Victoria Mining Company has submitted an application to the Ministry of Energy and Minerals of Tanzania license department for mining and processing to commence a medium-scale gold mine at the company's Kinyambwiga gold project at Kanunga Village, Tanzania.

The application covers the Kunanga site, which comprises 39 primary mining licenses (PMLs) that were combined into one PML license covering an area of 3.45k² on the 5th July 2013, in anticipation of making the application for the mining license.

The area also includes two other known gold occurrences at Kunanga two and three.

"We will transition from a junior exploration company to gold-producing company, which will create added value for our shareholders."

The primary focus for this mining license will be the Kunanga one deposit, which has been traced for 700m and has seen extensive artisanal mining activity in the past.

Drilling between and below the artisanal workings has shown continuity of mineralisation along strike and down dip, over widths and grades with broad zones of lower-grade material and narrower zones of higher-grade material.

Lake Victoria Mining Company president David Kalenuik said that upon receipt of the license, the company will hold all the regulatory approvals required to start mining and production at the first of four separate projects in Tanzania.

"This should allow us to complete the necessary financing to begin to order and prepare for the mobile and stationary mining and recovery equipment," Kalenuik said.

"We will transition from a junior exploration company to gold-producing company, which will create added value for our shareholders."

Earlier this month, Lake Victoria received environmental and social impact assessment approval from the National Environment Management Council.

Tanzania is Africa's fourth largest gold producer, behind South Africa, Ghana and Mali. It also has reserves of uranium, nickel and coal.

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