02 March 2014, Dar es Salaam – Shares of Australian mining company Redcliffe Resources are set to trade higher after the miner expanded its ground position in Tunduru, Ruvuma Region.
Analysis of rock chip sampling by Redcliffe from within the general area of the mines returned grades of up to 14 per cent copper.
Importantly, the new interests include areas within or adjacent to current mining activity, previously secured by Tanzanian nationals.
Redcliffe is progressively securing option agreements to undertake exploration on those areas for a small annual fee, whilst providing for future acquisition of areas at its election.
Owners of the existing mines have advised Redcliffe that 622 tonnes of ore at 22 per cent copper was produced over the preceding 12 months period, with higher grade zones said to have graded up to 45 per cent copper.
The company is continuing to sign up current licence holders within a region of interest, while completing planning for initial work programmes.
Discussions for funding arrangements to support expanded exploration over the areas are also at an advanced stage.
Redcliffe, with its joint venture partner, previously secured 247 square kilometres of prospective ground and has now lodged an application over an additional 107 square kilometres immediately north of its current Mesba copper project.
As part of the ongoing project evaluation, Redcliffe intends to acquire a parcel of ore from the Mbesa mine for metallurgical test works at a much earlier stage than would normally be possible at such a project.
Redcliffe also controls the Redcliffe Gold Project in Western Australia, where peak assays of 15.74g/t gold were returned last year.
The company is capitalised at under US $2 million, and its growing copper operations in Tanzania offer exciting potential upside.
– Tanzania Daily News
