Gold prices reached a record $3,000 per ounce, making Kavango Resources much more hopeful about their gold projects in Zimbabwe. The London company sees big promise in their Hillside gold project near Bulawayo after recent exploration. The price of gold shot up 13.6 percent past $3,000 last week, boosting the outlook for Zimbabwe operations. People buy gold as a safe place for money during global uncertainty and worries about Trump's trade policies.
Kavango believes a former owner may have hidden the true value of the Hillside mine at Prospect 1. This previous owner wanted to keep future mining opportunities for themselves. Recent mapping work and fixing old shafts uncovered gold deposits nobody knew existed. These discoveries show the gold-rich areas extend both sideways and deeper than anyone realized. The company's CEO, Ben Turney, expressed great excitement about these findings.
These newly found reefs create more opportunities to quickly produce large amounts of gold from Hillside. The timing could not be better, with gold selling above $3,000. Until recently, it appears the previous owner tried to protect Prospect 1's future value. Their secrecy masked how productive this historic mine could really be and limited chances for much higher gold production.
Kavango completed repairs on the historic Main Shaft and West Shaft at Prospect 1 last December, allowing mining to begin again. When workers cleared old waste from the first two levels of the Main Shaft, they found a deeper third level existed. Testing confirmed the gold-bearing structure continues down to this third level. Recent results show the gold quality actually improves as you go deeper from level 2 to level 3.
All this research, plus the quality test results, point to much better underground potential at Prospect 1 than managers first expected. Kavango plans to test how far these gold reefs extend using both surface and underground drilling. If the results look good, this information will guide more drilling to map resources at Prospect 1. The company hopes to build a bigger, longer-lasting underground mine than originally planned.
Kavango also wants to increase processing capacity at Prospect 1 for more production flexibility. The company works through Kavango Zimbabwe, created in July 2023. They focus on high-grade gold mines in the Matabeleland region, especially sites good for economic bulk mining. Kavango earlier described entering Zimbabwe as a key step, giving them access to the profitable gold industry there. Gold is Zimbabwe's largest export moneymaker, with mining bringing in over 75 percent of yearly export money.
Kavango believes a former owner may have hidden the true value of the Hillside mine at Prospect 1. This previous owner wanted to keep future mining opportunities for themselves. Recent mapping work and fixing old shafts uncovered gold deposits nobody knew existed. These discoveries show the gold-rich areas extend both sideways and deeper than anyone realized. The company's CEO, Ben Turney, expressed great excitement about these findings.
These newly found reefs create more opportunities to quickly produce large amounts of gold from Hillside. The timing could not be better, with gold selling above $3,000. Until recently, it appears the previous owner tried to protect Prospect 1's future value. Their secrecy masked how productive this historic mine could really be and limited chances for much higher gold production.
Kavango completed repairs on the historic Main Shaft and West Shaft at Prospect 1 last December, allowing mining to begin again. When workers cleared old waste from the first two levels of the Main Shaft, they found a deeper third level existed. Testing confirmed the gold-bearing structure continues down to this third level. Recent results show the gold quality actually improves as you go deeper from level 2 to level 3.
All this research, plus the quality test results, point to much better underground potential at Prospect 1 than managers first expected. Kavango plans to test how far these gold reefs extend using both surface and underground drilling. If the results look good, this information will guide more drilling to map resources at Prospect 1. The company hopes to build a bigger, longer-lasting underground mine than originally planned.
Kavango also wants to increase processing capacity at Prospect 1 for more production flexibility. The company works through Kavango Zimbabwe, created in July 2023. They focus on high-grade gold mines in the Matabeleland region, especially sites good for economic bulk mining. Kavango earlier described entering Zimbabwe as a key step, giving them access to the profitable gold industry there. Gold is Zimbabwe's largest export moneymaker, with mining bringing in over 75 percent of yearly export money.
