Casmyn expands ground in Zimbabwe

Casmyn, which trades over the counter, has signed two option agreements for gold properties in south-central Zimbabwe.

One of the deals was made with Zimbabwe-based Olympus Gold Mines, which owns a 690-acre property that hosts several past-producers. Among these is the Dawn mine, which yielded more than 340,000 oz. gold at an average grade of 14.9 grams per tonne. Casmyn can acquire the property for US$380,000.

An independent report has identified 700,000 tonnes grading 8.9 grams, within 100 metres of the surface.

The Dawn mine is 10 km south of the Turk mine, for which Casmyn recently concluded a purchase agreement with the Muir Group. Ore from the Dawn would likely be shipped to the Turk mill.

Core drilling is to begin before year-end.

Casmyn also concluded a deal with Falcon Gold Zimbabwe, which holds the Antelope property, 110 km south of Bulawayo. The property, 12 km long and 3 km wide, includes the Antelope mine which produced 295,000 oz. gold averaging 20.2 grams per tonne, and the Sun YetSen mine which produced 97,000 oz. at 17.5 grams.

An independent report estimates a sulphide resource for the Antelope mine of 250,000-500,000 tonnes grading 9 grams per tonne. The property contains seven other oxide gold prospects along a major shear zone.

The option price for the property and equipment, including a new carbon-in-leach plant, is US$2.8 million.

Casmyn projects annual production of 100,000 oz. gold in Zimbabwe within the next three years.