AMN - DRC: Kibali makes strong start to 2019

Kibali, which is ranked among the world’s top 10 gold mines, has made a strong start to 2019 after setting a new production record last year, according to Barrick president and CEO Mark Bristow. Barrick operates Kibali, which is a joint venture with AngloGold Ashanti and the Congolese parastatal SOKIMO.

Bristow said the DRC operation was continuing to break records en route to its 2019 guidance of 750,000 ounces, the latest being 285,000 tonnes of ore hoisted through the shaft in March.

He said throughput and recovery remained at or above nameplate levels and Kibali continued to add new technology to its autonomous mining operation, a field in which it was already an industry leader.

Kibali is one of the largest gold mines in Africa. It comprises an integrated open pit and an underground operation as well as a 7.2 million tonnes per annum processing plant.

First gold was poured in 2013 from open pit operations and commissioning of the full underground operation was completed at the end of 2017.

Kibali is in the DRC's northeast, about 220km east of the capital of the Haut Uele province, Isiro, 150km west of the Ugandan border town of Arua and 1,800km from the port of Mombasa.

Bristow said: “With Kibali producing at this rate, we are intensifying our focus on reserve and resource replacement. Drilling is targeting extensions of the KCD Gorumbwa complex of ore bodies, along the 30km gold bearing KZ structure, and the western extensions of the Kibali Graben. This has confirmed that there is a substantial potential for replenishing the reserve and resource base.

“Kibali is one of five Tier One gold mines in the Barrick stable and it is an outstanding example of Barrick’s commitment to partnerships. This is demonstrated by the constructive relationship between its three shareholders as well as by its continuing investment in the local economy.

"During the past quarter, the mine spent $38 million with Congolese contractors and the recently initiated Durba road upgrade project is being undertaken by 100% Congolese owned and operated contractors which Kibali developed.”

On January 1, 2019, a new Barrick was born out of the merger between Barrick Gold Corp and Randgold Resources. The merger has created a sector-leading gold company which owns five of the industry’s top 10 Tier One gold assets.

With mining operations and projects in 15 countries, including Argentina, Australia, Canada, Chile, Côte d’Ivoire, DRC, Dominican Republic, Mali, Papua New Guinea, Peru, Saudi Arabia, Senegal, USA and Zambia, Barrick has the lowest total cash cost position among its senior gold peers and a diversified asset portfolio positioned for growth in many of the world’s most prolific gold districts.

Bristow noted that, at a meeting in Washington DC earlier this month, the Congolese president Felix Tshisekedi and Barrick executive chairman John Thornton had confirmed their joint commitment to a partnership designed to develop the country’s gold mining industry.

He said: “The DRC government is one of our most important partners and we look forward to working with them to create an economic climate capable of attracting large and long-term investments such as the one we made in Kibali. This requires a mining code which equitably balances the interests of the State and the capital providers and allows both to participate fairly in the value creation that the mining industry offers. We are and will continue to engage with the government and administration on the issues around the code introduced last year."

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