Monday, September 13, 2010

More Gold in the Mara River Basin...

Kenya reportedly strikes commercially viable gold

An excerpt...


Lolgorian is part of the extensive Greenstone Belt of the Lake Victoria that
stretches into the Mara in Tanzania, and is believed to have rich gold deposits.
The company, which is operating in Kenya as Goldplat Kilimapesa Project,
is conducting more tests and is yet to finalise regulatory issues with the Government
with a view to obtaining a mining licence. The Standard has established the deposits
are between 40,000 ounces (oz) and 60,000 ounces. An ounce is the unit of measuring
gold with one ounce equalling 28.34 grammes (0.02835kg).
This means the deposits can support mining of 4,000 ounces per year, with
a lifespan of between 10 to 15 years. Going by the current price of gold in the
international market where one ounce is trading at 1,246 US dollars (Sh100, 926
under current exchange rates), the project could earn the country 400m shillings
annually or 32bn shillings in 15 years.
The amount, say industry experts, is a boom considering small time miners
in various parts of Western Kenya according to industry estimates, produce a mere
15m shillings annually, although much of is sold to middlemen at prices well below
those in the international market.

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