The Buckreef Project

The Company is focused on the Buckreef Project located in the Geita District of the Geita Region south of Lake Victoria, approximately 110 km southwest of the city of Mwanza, Tanzania. See map below. The Buckreef Project area can be accessed by ferry across Smiths Sound, via a tarred national road and, thereafter, via well maintained unpaved regional roads. The Buckreef Project comprises five prospects, namely Buckreef, Bingwa, Tembo, Eastern Porphyry and Buziba. The Buckreef Project itself encompasses three main mineralized zones: Buckreef South, Buckreef Main and Buckreef North. The Buckreef Project is fully licensed for mining and the extraction of gold.

LOCATION OF BUCKREEF LICENCES ON LAKE VICTORIA GREENSTONE BELT

Location of Buckreef Licences

The Buckreef Project Mineral Resources currently stand at (0.4g/t cut-off) (see Press Release June 24th, 2020):

Measured

Indicated

Inferred

Total M+I

Tonnes

Grade

Content Au

Tonnes

Grade

Content Au

Tonnes

Grade

Content Au

Tonnes

Grade

Content Au

(Mt)

(g/t)

(oz)

(Mt)

(g/t)

(oz)

(Mt)

(g/t)

(oz)

(Mt)

(g/t)

(oz)

19.98

1.99

1,281,160

15.89

1.48

755,120

17.82

1.11

635,540

35.88

1.77

2,036,280

Mineral Reserves remained as of the 2018 Pre-Feasibility Study (see Press Release July 30, 2020) and the Company is undertaking a Feasibility Study (updating the 2020 Mineral Resources in the process) to update the Mineral Reserves.

Buckreef Reserves Tonnes Grade In Situ Gold Content
(Mt) Au (g/t) Kg Oz
Proven-Stockpile 119,726 1.86 223 7,160
Proven 9,352,183 1.72 16,092 517,358
Probable 9,730,764 1.36 13,265 426,492
Mineral Reserves 19,202,673 1.54 29,580 951,010

1) Mineral reserves is inclusive of Mineral Reserve shapes, mining recovery, mining dilution and open pit preproduction development costs. Mineral Reserve estimate includes dilution.

2) Mineral reserve was estimated using N143-101F compliant Standards on Mineral Resources and Reserves, Definitions.

3) Contained metal may differ due to rounding

  • Buckreef Gold will continue with plans to build a separate 40 tph oxide mine operation while simultaneously operating the 15 tph oxide mine operation. The Company is in the process of finalizing the 40 tph oxide mine plan and financial models for this operation, and SGSC is also reviewing this information. Buckreef Gold plans to operate the 15 tph oxide plant for an initial 18 month period while undergoing construction of the 40 tph oxide plant. The 40 tph and 15 tph oxide plants will be situated in different locations on the Buckreef SML, and the Company in conjunction with Buckreef Gold, will assess the possibility of an expanded 55 tph (40 tph + 15 tph) oxide mining operation over the medium to long-term time horizon. The 40 tph oxide mining operation plans to utilize dry stack tailings while the 15 tph oxide mining operations will utilize wet tailings. The 40 tph oxide mine operations are expected to be capable of producing 15,000 - 20,000 oz. of gold per year based on the initial mine plan and grade profile.
  • The request for proposal process for the construction of the 40 tph oxide plant and related infrastructure is complete. The Company has entered into a letter of intent (“LOI”) with an Engineering, Procurement and Construction (“EPC”) contractor and is in the process of finalizing the agreements for the construction of this facility. The Company has hired Ausenco Engineering Canada Inc. (“Ausenco”) as Management Engineer to assist in management of the 40 tph oxide plant project. More details will be released after this process is complete.
  • Through its testing program, Buckreef Gold has been able to substantiate the grade control block model, confirm forecasted operating cost inputs such as mining and processing costs for 15 tph and 40 tph oxide mining operations, and develop a more comprehensive understanding of oxide mill feed grind, processing of clays, retention times and how to achieve higher recovery rates. More importantly, this knowledge has been applied to the design of the 15 tph and 40 tph oxide mine operations, substantially de-risking these operations. 
  • In consultation with SGSC Lakefield (“SGSL”) and Ausenco, Buckreef Gold has continued to refine targeted recovery rates for the 15 tph and 40 tph oxide mining operations. The targeted recovery rates for these operations are anticipated to be approximately 85%-90%. The final phase of the 5 tph oxide test plant will focus on recovery rates versus balancing output and recovery rates; this test phase has already commenced with encouraging initial results (See Page 12 - 5 tph Oxide Test Plant and Operations for more details). For the nine months ended May 31, 2021, recovery rates at the 5 tph oxide test plant ranged from 77% to 87%. In Q3 2021 the oxide test plant produced 446 ounces of pure gold and 1,440 ounces of pure gold on a year-to-date basis. 

Recent Drone Survey Photographs

     

15 TPH OXIDE PLANT UPGRADE PROGRESS

The Fourth Ring Installed on Tank #7

New Ball Mill

New CIL Tanks

New Liners For Added Tailings Facility Capacity