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By: TRUST NDEBELE
Jubilee has concluded execution of a co-operation and project development agreement with Galileo Resources for the implementation of an accelerated resource exploration program and the development of Molefe Mine.
The agreement combines Jubilee’s established in-country operational and processing expertise with the exploration and geological expertise of Galileo.
According to Galileo, this combined expertise enables the dedicated focus by the responsible teams on each of the critical project work streams namely, the continued management of the mining operations, the focused implementation of an on-site processing solution, and the resource definition drilling and exploration program, both for the Molefe Mine and potential targeted neighbouring areas, which have been secured by Jubilee.
“We are delighted to have found a partner with such an established track record in Zambia for the co-development of Molefe. The combined skill set of the two teams is seldom available to a single mining project of this size,” said Leon Coetzer, Chief Executive Officer of Jubilee.
He said the joint agreement enables Jubilee to dedicate its focus on the day-to-day operations and the development of the processing solution for the Molefe Mine.
“Outsourcing the mine planning and resource measurement to Galileo, which has an exceptional team with decades of experience and a wealth of in-country and African knowledge, was a natural and pragmatic option.”
Jubilee’s current capital investment into Molefe Mine is secured through a preferential earnings right until its investment has been recovered fully from Molefe Mine’s future earnings.
Molefe Mine is placed on an accelerated development path with the formation of dedicated highly skilled teams to focus on day-to-day operational management of the project currently ramping up production to achieve 4 500tpm of high-grade run-of-mine (ROM)
Galileo is to fund US$700 000 towards the exploration and development of the resource definition for the Project expected to confirm the early resource potential recognised by Jubilee
Molefe Mine has already been established as an operating mine with high-grade ore already being refined at Sable, providing a head start into the understanding of the underlying geology of the Project
While this transaction initially covers only the Molefe Mine licence area, the greater Molefe area includes highly prospective contiguous exploration properties secured by Jubilee.
Meanwhile the Jubilee operational team is looking forward to working with the Galileo operational team to accelerate the development of the Molefe Mine project.
The joint shareholding in Molefe Mine ensures a common purpose to develop this opportunity and offer shareholder returns – potentially one of the most significant, major copper deposits in the central province.
