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KIBO MINING PLC - SEPCO III Completes Successful Site and Country Visit to Tanzania

Release Date: 29/04/2015 08:00
Code(s): KBO     PDF:  
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SEPCO III Completes Successful Site and Country Visit to Tanzania

Kibo Mining Plc
(Incorporated in Ireland)
(Registration Number: 451931)
(External registration number: 2011/007371/10)
Share code on the JSE Limited: KBO
Share code on the AIM: KIBO
ISIN:IE00B97C0C31
("Kibo" or "the Company")

29 April 2015

SEPCO III Completes Successful Site and Country Visit to Tanzania 

Kibo Mining plc ("Kibo" or the "Company") (AIM: KIBO; AltX: KBO), the Tanzania focussed 
mineral exploration and development company is pleased to announce that, following the 
announcement of the Joint Development Agreement ("JDA") with SEPCO III (RNS dated April 
20, 2015), Kibo hosted SEPCO III for a successful country and project site visit to Tanzania, 
from 23 April 2015 until 27 April 2015.

Highlights

*First and strategically most important condition precedent in SEPCO III JDA fulfilled

*Project site visit completed successfully, with all visit objectives met

The SEPCO III site visit included a visit to the RCPP mine and power plant site and 
surrounding areas and fulfilled a key condition precedent to the JDA. The visit also included 
plenary meetings with the Minister for Energy and Minerals as well as senior officials of the 
Ministry of Energy and Minerals and related departments. The key objectives of the site visit 
were:

*To familiarise the SEPCOIII team with local in-country conditions and those related to 
 operational and business conditions in Tanzania
*To physically visit the RCPP project site and to conduct an extensive on-site technical work 
 shop
*To plan and finalize the scope of work required to successfully execute and complete Stage 2 
 of the RCPP Definitive Feasibility Study, i.e. delivery of an integrated Bankable Feasibility 
 Study for the RCPP and
*To officially introduce SEPCO III to all the relevant Tanzanian Government departments 
 and authorities as the Company's RCPP development partner

The SEPCO III delegation comprised a team of commercial, financial and engineering 
specialists who engaged in various work and planning sessions with the Company's RCPP 
technical team that included senior representatives from Minxcon Projects (Pty) Ltd, and 
Aurecon South Africa (Pty) Ltd, the two professional consulting companies responsible for 
conducting all the feasibility work done on the RCPP to date. 

 Louis Coetzee, CEO of the Company, commented today: "The fact that we are able to provide 
the market with an update on the fulfilment of the most important condition precedent in the JDA 
so soon after it was signed, is strong confirmation that in SEPCO III Kibo has engaged a highly 
professional, competent and committed joint venture partner that is as serious as Kibo in 
pursuing the successful and timely delivery of the RCPP.

The site visit comprised five very productive days that totally exceeded our expectations in terms 
of progress made on all relationship levels associated with the JDA. This bodes well for the 
further development of the RCPP and we look forward to updating the market on further 
progress."

Contacts

Louis Coetzee
+27 (0) 83 2606126
Kibo Mining plc
Chief Executive Officer

Andreas Lianos
+27 (0) 83 4408365
River Group
Corporate Adviser and Designated Adviser on JSE

Elliot Hance
+44 (0) 207 382 8300
Beaufort Securities Limited
Broker

Oliver Morse
+61 8 9480 2500
RFC Ambrian Limited
Nominated Adviser on AIM

Daniel Thšle
Lucinda Alderson
+44 (0) 203 772 2500
Bell Pottinger
Investor and Media Relations
      
Kibo Mining - Notes to editors 

Kibo Mining is listed on the AIM market in London and the AltX in Johannesburg. The 
Company is focused on exploration and development of mineral projects in Tanzania, and 
controls one of Tanzania's largest mineral right portfolios. Tanzania provides a secure and 
stable operating environment for the mineral resource industry and Kibo Mining therein.

Kibo Mining holds a thermal coal deposit at Rukwa, which has a significant JORC compliant 
defined resource (See Table 1 below), and is developing a 250-350MW mouth-of-mine thermal 
power station with an established management team that includes Standard Bank as Financial 
Advisor.  Kibo is undertaking a Coal Mining Definitive Feasibility Study and a Power Pre-
Feasibility Study for Rukwa with initial findings to be released in the near term.

The Company also has extensive gold focused interests including Lake Victoria Goldfields and 
Morogoro projects. At Lake Victoria, the Company has projects with a 550,000oz JORC 
compliant gold Mineral Resource at Imweru Project (See Table 2 below) and a 168,000oz NI 
43-101 compliant gold Mineral Resource at Lubando Project (See Table 3 below) in which the 
Company holds a 90% attributable interest. The Company is currently undertaking a Definitive 
Feasibility Study on its Imweru Project, with Preliminary Economic Assessment study findings 
to be released in the near term. 

Kibo also holds the Haneti Nickel Project on which the latest technical report confirms 
prospectivity for nickel, PGMs, gold and strategic metals including Lithium.

Kibo Mining also holds the Pinewood (coal & uranium) project where the company has signed 
a MOU to enter into a 50/50 Exploration Joint Venture with Metal Tiger PLC.

The Company's projects are located in the established and gold prolific Lake Victoria 
Goldfields, the emerging goldfields of eastern Tanzania and the Mtwara Corridor in southern 
Tanzania where the Government has prioritised infrastructural development attracting 
significant recent investment in coal and uranium. The Company has a positive working 
relationship with the Tanzanian government at local, regional and national levels and works 
hard to maintain positive relationships with all communities where company interests are held.  
The Company recognises the potential to enhance the quality of life and opportunity for 
Tanzanian citizens through careful development of its projects.

Updates on the Company's activities are regularly posted on its website www.kibomining.com   

Technical data

Rukwa Mineral Resource
Table 1 below presents a table showing the Mineral Resource estimate for the Rukwa Coal Project. The 
table is taken from an NI 43 101-Compliant Report by GEMECS (Pty) Ltd dated April 2012.

Table 1
RUKWA COAL RESOURCE SUMMARY- GEMECS (Pty) Ltd

                                          SEAM     NI 43-101      IN SITU
SEAM                                   THICKNESS     CLASS     MILLION TONS
S4                                       1.14      Indicated       2.17
S3U                                      2.04      Indicated       6.92
S3L                                      2.3       Indicated      12.63
S2                                       3.45      Indicated      23.43
S1U                                      2.48      Indicated       7.34
S1L                                      2.92      Indicated       17.4
S0                                       1.08      Indicated       1.44
Total Indicated Resources                                         71.34

S4                                       1.31       Inferred       1.38
S3U                                      2.24       Inferred       2.94
S3L                                      2.27       Inferred       3.86
S2                                       3.42       Inferred       7.94
S1U                                      2.05       Inferred       6.5
S1L                                      3.15       Inferred      12.83
S0                                       1.06       Inferred       2.6
Total Inferred Resources                                          38.05

TOTAL RESOURCES                                                  *109.39
*Kibo holds 100% of the Rukwa Mineral Resource



Imweru Mineral Resource
Table 2 below presents a table showing the Mineral Resource estimate for the Imweru  Project  at  a 
base case economic cut-off grade for the reporting of the resource  of  0.4 g/t. The table is taken from a 
JORC-Compliant Report by Tetra Tech EBA dated February 2014.

  Table 2

Area                      Material      Classification        Cut-off      Specific      Metric       Short Tons  Gold        Contained Gold                     
                            Type                               (g/t)        Gravity     Tonnes (t)                Grade 
                                                                                                                  (g/t)        Ounces (troy)

Central
                         Laterite         Indicated            0.40          2.50       131,000       144,000    1.785            8,000
                         Saprolite        Indicated            0.40          2.50       706,000       778,000    1.387           32,000
                          Bedrock         Indicated            0.40          2.89     1,895,000     2,089,000    1.043           64,000
                           Total          Indicated            0.40          2.77     2,732,000     3,012,000    1.168          103,000

                         Laterite          Inferred            0.40          2.50       685,000       755,000    1.317           29,000
                         Saprolite         Inferred            0.40          2.50     1,047,000     1,154,000    1.040           35,000
                          Bedrock          Inferred            0.40          2.89     7,838,000     8,640,000    1.029          259,000
                           Total           Inferred            0.40          2.82     9,569,000    10,548,000    1.051          323,000

East                       Total           Inferred            0.40          2.70     2,653,000     2,925,000    1.449          124,000


Imweru Property Total
                                           Indicated           0.4           2.77     2,732,000     3,012,000    1.168           103,000
                                            Inferred           0.4           2.79    12,222,000    13,473,000    1.137           447,000

                                           Combined 
                                           (inf+ind)           0.4           2.79    14,954,000     16,485,000   1.143           550,000
*Kibo holds 90% of the Imweru mineral resource            


*   Total estimates are rounded, based on composites capped at 26 g/t gold at Imweru Central and 25 g/t at Imweru East, the cut-off grade is 
based on a gold price of US$1,200 and a 90%  metallurgical recovery is assumed in calculation of cut-off grade. A base case of  0.40  g/t 
has been selected. 

** Classification of Mineral Resources incorporates the terms and definitions from the Australian Code for Reporting of Exploration 
Results, Mineral Resources and Ore Reserves (JORC Code) published by the Joint Ore Reserve Committee (JORC)


Lubando Mineral Resource 
Table 3 below presents a table showing the Mineral Resource estimate for the Lubando Project at a base 
case economic cut-off grade for the reporting of the resource of 0.5 g/t Au. The table is taken from an 
NI 43 101-Compliant Report by EBA Engineering Consultants Limited (now part Tetra Tech EBA) 
dated August 2009.

TABLE3: LUBANDO MINERAL RESOURCE SUMMARY - BASECASE*

Category                    West Zone     East Zone South     East Zone Mid      East Zone North        Total
Measured Resource

Measured Resource(t)        107,900           4,880             16,900               54,440            184,150
Grade(g/t)                    1.6             2.52               1.72                 2.48               1.95
Total Gold(oz)               5,900            400                 950                4,340              11,500


Indicated Resource

Indicated Resource(t)      280,710           18,330           61,000               149,350             509,420
Grade(g/t)                  1.6               2.23             1.89                  2.73               1.99
Total Gold(oz)            14,500             1,300             3,700                13,120             32,600


Inferred Resource

Total Resource(t)         1,090,000         65,470            209,340             535,330           1,900,140
Grade(g/t)                  1.2              1.56              3.34                3.13               2.03
Total Gold(oz)             44,550           3,300             22,500              53,900            124,200

* Kibo holds 90% of the Lubando mineral Resource

* Numbers are rounded. Composites capped at 10.85g/t gold. Cut-off grade of 0.5 g/t gold based on a gold price of US$850/oz 
and assumed 100% metallurgical recovery.CIM definitions were followed for Mineral Resources.

Pursuant to the terms of an inherited agreement with Barrick East Africa Exploration LTD (BEAL), Kibo 
currently has an effective 90% interest in the Imweru and Lubando Project (and thus a 90% attributable 
interest in the Imweru and Lubando Mineral Resources shown in Table 2 and 3 above), with Barrick having 
a 10% carried interest up to a decision to mine at which point they have to contribute or be diluted to a 2% 
net smelter royalty. BEAL also has a first right of refusal pursuant to which they can buy the 90% interest 
in the project at an agreed market related value after completion of a Bankable Feasibility Study.  Kibo 
remains the operator of the project. 

Review by Qualified Persons

The information in this announcement that relates to the Rukwa Coal Mineral Resource is taken from a 
report titled "Independent Technical Report for the Rukwa Coal Project, Mbeya Region, United Republic 
of Tanzania" dated 19th April 2012 by CD van Niekerk Director and Principal Geologist with the firm 
GEMECS (Pty) Ltd. Mr van Niekerk is a Professional Natural Scientist with the South African Council for 
Natural Scientific Professions (SACNASP), Registration No. 400066/98 and a Fellow Member of the 
Geological Society of South Africa. He has relevant experience and technical qualifications to be a 
"Qualified Person" for reporting coal resources to the NI 43-101 Standard

Information in this announcement that relates to the Imweru Mineral Resource is taken from the report 
titled "Resource Update for the Imweru Property Geita Region Northern, Tanzania, JORC Competent 
Persons Report" dated February 17th 2014 (the "Report"). The Report states a JORC-compliant Mineral 
Resource estimate and was prepared for Kibo Mining plc by James Barr P.Geo. and Darryn Hitchcock 
P.Geo. Senior Geologist and Geologist respectively with TetraTech EBA Ltd. Both Mr. Barr and Mr. 
Hitchcock are registered as Certified Professional Geologists with Association of Professional Engineers 
and Geoscientists of British Columbia a recognised professional organisation. Mr Barr as principal author 
responsible for the Report has experience in the evaluation and reporting of Archaean Gold projects and is 
a "Qualified Person" for reporting gold resources to the JORC Standard. He consents to the inclusion in 
this document of the matters based on his information in the form and context in which they appears. 

The information in this announcement that relates to the Lubando Mineral Resources is taken from a report 
titled  "Technical Report on the Lubando property, Mwanza, Tanzania" dated 31st  August 2009" (the 
"Report") The  Report is NI 43-101 compliant and was prepared for Great Basin Gold Rusaf Gold Limited 
by Nathan Eric Fier C.P.G., P.Eng. Market Director for EBA Engineering Consultants Ltd and a Senior 
Mining Consultant. Mr. Fieris registered as a Certified Professional Geologist with the American Institute 
of Professional Geologists, Registration No 10062, and a professional Engineer in British Columbia, 
Canada Registration No. 135165. He has extensive experience in the evaluation and reporting of Archaean 
Gold projects. 

The Company's Exploration Director, Noel O'Keeffe has reviewed the resource reports and the references 
to them in this announcement.

Johannesburg
29 April 2015
Corporate and designated Adviser
River Group

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