TINASHE MAKICHI
BlackRock has reduced its shareholding in Blanket Mine’s parent company, Caledonia Mining Corporation Plc, to below 3% after crossing a particular threshold in the company, Business Times can report.
“Caledonia announces that it received notification on June 28, 2021 from BlackRock that it crossed a particular threshold in the company (Caledonia). Blackrock Inc.’s total interest in voting rights is now below 3% of the company’s issued share capital,” Caledonia said.
Recently, the resources group announced its intention to sell US$13m worth of shares to fund its solar power generation under at the market sales agreement with US financial services fi rm Cantor Fitzgerald & Co (Cantor).
Th e agreement will see any sales of shares occurring by means of ordinary brokers’ transactions or block trades, with sales only being made on the New York Stock Exchange (NYSE) at market prices.
Caledonia, which is listed on the NYSE, recently announced an upgrade to the mineral resource and mineral reserve base at its Zimbabwe unit, Blanket Mine, in Matabeleland Province.
Total proven and probable mineral reserves increased by 1% to 528 000 ounces and a 12% increase in total measured and indicated mineral (M&I) resources to 902 000 ounces.
Commenting on the mineral resource and mineral reserve update in May this year, chief executive officer Steve Curtis said: “A 1% increase in the proven and probable mineral reserves and a 12% increase
in M&I after mining depletion of 84 925 ounces is a continuation of securing the long-term future of Blanket.
“Th e reduction in inferred mineral resources is due partly to successful conversion to M&I, at approximately 18% and partly the lack of deep level exploration over the last 12 months, awaiting the development of new drilling platforms on the lower levels via the recently-commissioned
Central Shaft.”
Th e latest geological information available according to Curtis, combined with a lower mineral resource cut-off grade, from 2.1 grammes per tonne to 1.5 g/t, due to the higher gold price, added lower grade mineral resources, resulting in a reduction in the inferred mineral resources grade.
Inferred mineral resources at Blanket have decreased by 10% to from 963 000 ounces in 2018 to 866,000 ounces in 2020.
Th e decrease, Curtis said, was due to approximately 18% of inferred mineral resources which was converted to the M&I category and the lack of deep drilling exploration over the last 12 months awaiting the development of new drilling platforms on the lower levels via the recently commissioned central shaft.
Lower grade Inferred Mineral Resources were added due to lowering the Mineral Resource cut off grade to 1.5 g/t from 2.1 g/t as a result of a higher gold price.
