Randgold Resources recently developed a new mine namely Kibali gold mine and is responsible for its successful functioning. The Kibali gold mine is said to be one of the largest of its kind throughout Africa 45% invested by Randgold, another 45% from AngloGold Ashanti and the Congolese parastatal Sokimo holding the balance.
September 2013 saw the launch Kibali gold mine and even though production has only been going for roughly one month, the Kibalie gold mine, if handled correctly by all stakeholders, is said to posses the capacity for extensive long-term value creation in the Democratic Republic of Congo (DRC).
Mark Bristow is the CEO of Randgold and he disclosed to the media that regardless of the concern with regards to attempting such a giant operation in this region, Kibali had been brought into production ahead of schedule and within budget
The Kibali open-pit gold mine is producing one-million tonnes of ore on a monthly basis and the plant has provided positive results thus far with already achieving 80% of its design capacity. With steady-state production imminent, Kibali was set to start gold sales later this month. In the meantime, decline development and shaft sinking for the underground mine was rolling ahead of time, with first ore from underground expected in 2015, while exploration continued to grow Kibali’s resources. Ahead of its customary yearly group resource and reserve declaration, Randgold aims to issue a reserve update for Kibali later this year.
With much excitement and relief, Randgold has made it clear that the company will aim to provide a new production forecast for this quarter in a little while and there is high probability that this will go beyond their first estimate of 30 000 oz, due to the successful early start-up. Randgold expects to maintain its credible reputation by aiming to achieve a significant a profit in its first quarter of commercial operation. Randgold sees itself as a regional development enabler, and in line with this belief has succeeded in interesting investors as well as the Congolese government in cooperating with it to establish a palm oil production business in Province Orientale, where Kibali is located.
In Province Orientale, Kibali’s stakeholders are able to start on a fresh note, and to demonstrate to the world what can be achieved in Africa through a real partnership between a mining company and its hosts.