Canadian gold producer AfroCan Resources Gold Ltd, announced that it is aiming to acquire a gold property in the south of Mwanza, Northern Tanzania.
The announcement was done by AfroCan’s CEO Mr. Brian Barret in an interview with Mining Weekly on 3rd July, 2015, where he explained that the company’s aim is to acquire the Luhala Gold Project that is currently under the overseen of Canadian firm Tanzania Royalty Exploration Corporation (TRX).
According to TRX, the Luhala Gold Project counts with a National Instrument 43-101 (NI 43-101) developed by South African Consultant firm Venmyn Rand Ltd (Venmyn) in 2012.
According to NI 43-101 report, the project consist in lands for 1,860,000 tons of minerals with an average grade of 1.87 grams per ton, lying on the 112,000 oz. gold available to be exploded.
AfroCan made a strategic move to Tanzania in June, 2015, with the establishment of AfroCan Resources Tanzania Ltd. in Mwanza, Tanzania’s second largest city and Lake Victoria’s economic hub.
Afrocan with its low-cash-cost business model, is seeking to capitalize its presence in Tanzania by acquiring all the projects from the starting stage.
Luhala Gold Project is planned to be the first of those projects that with a cash cost of USD 400 per oz. will convert quickly production into benefits for further acquisitions, something that has attracted funds from several investor making Afrocan one of the fastest growing companies in the sector.