AN Australian Stock Exchange-listed exploration company Volt Resources has substantially completed its diligence enquiries on the Luiri Hill gold project and is progressing to completion, the company reported.
The project, which is located in Mumbwa, comprises one large-scale exploration licence and a mineral processing licence covering 31.38 km2
Volt Managing Director Trevor Matthews noted that the development is a significant step forward for Volt’s gold business strategy with the updated mineral resource estimate confirming Luiri Hills as a quality gold project with outstanding economic potential.
“Combined with the numerous gold-bearing stockpiles and local exploration potential, the mineral resource estimate provides the platform for early gold production based on the significant amount of study work already conducted for the Luiri Hill gold project,” Mr Mathews said.
In May, Volt Resources inked a binding term sheet to acquire an 85% interest in the Luiri Hill gold project through an acquisition of an interest in each of Cupriferous Resources and Bukomo Mining.
Volt’s Zambian partners would continue to retain a 15% ownership in the project and remain actively involved in the funding and development of the Luiri Hill gold project.
Cupriferous Resources is the holder of Large Scale Exploration, which covers an area of about 31 km2 in Mumbwa.
Bukomo Mining and Cupriferous jointly hold mineral processing Licence No. 20943-HQ-MPL, which falls within the Cupriferous licence area.
“Volt has already obtained the necessary approval from the existing licence holders to access and obtain information regarding the Luiri Hill gold project from the Zambian government,” the company stated.
“As a shareholder, I am excited about the opportunity for Volt to develop its world-class graphite business in Tanzania, combined with the potential to become a gold producer in Zambia in the near future,” Volt chairperson Asimwe Kabunga added.