ush for Exploration and Production Co. Ltd. (Kush E&P) and Alliance for Mining Co. Ltd. (Alliance) manage mineral prospecting and production licenses for Block 30 in Red Sea State in the Republic of Sudan. In May 2015 Alliance launched a gold processing plant (GPP).

 

Kush for Exploration & Production Co. Ltd. / Alliance for Mining Co. Ltd.

Plot 107, Garden City, Khartoum, Sudan

Tel: +249 93 001 8300

alliance@alliance-kush.com

pril 30th, 2013: the Government of Sudan and Kush for Exploration and Production Co. Ltd. (Kush EP) signed the Concession Agreement for Block 30. Based on the Concession Agreement Kush EP was granted a Mineral Prospecting License for Block 30.

 

October 2013: start of geological exploration spanning 70% of the total license area. As a result, Wadi Ushar was selected as the first prospecting site (Commercial Discovery). Intensive geological exploration on Block 30 continued with the aim of increasing the resource base.

 

July 2014: start of open pit works based on the successful exploration results

 

December 2nd, 2014: Kush EP and Sudanese partners established a production company – Alliance for Mining Co. Ltd. (Alliance) – to operate the Gold Processing Plant (GPP).

 

January 2015: construction of pilot GPP and main infrastructure, including field camp, utilities, communications, laboratory complex, etc. 

 

May 2015: Mining License was issued for the Commercial Discovery area (Wadi Ushar). Official ceremony of launching the GPP, attended by representatives of the Sudanese authorities.

lock 30 area: 4,426 square km 

Location: Red Sea State, the Republic of Sudan

License term: 3 years + 2 extensions (1 year each)

 

Block 30 Exploration Area has a high potential for discovery of significant resources of gold. 

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Base strategy:

  • Increasing the resource base

  • CIL (Cyanide-in-leach) plant expansion

 

Additional exploration

  • At least 2 exploration targets suitable for open pit mining identified within 3-4 km from CIL Plant

  • Expected mineral resources based on identified targets 2.2 – 2.6 Mt @ 8-12 ppm of gold
    (0,8 – 1.0 Moz ~ 26 – 32 t Au)

 

CIL Plant expansion

  • Addition of 0.35 mtpa of gold ore mining & processing  - > Total Plant Capacity will reach 0,5 Mtpy

  • Expansion Capex ~ $40-50M

 

It is expected that additional exploration of the remaining license area will yield significant volumes of gold-bearing material suitable for heap leaching and/or further CIL Plant expansion

lliance for Mining Co. Ltd is an important employer in the region:

  • 277 local specialists work at the company as of June 1st, 2015

  • Plans to increase staff to almost 500 specialists (80 % - Sudanese)

  • Internships with a track to employment for local communities

 

Food and medical assistance for local communities, emergency aid:

  • In 2013 over 250,000 SDG allocated to buy food and medicine

  • In 2013 Kush E&P provided a grant of US $100,000 to the Sudanese government to restore regions, suffering from flooding

  • In 2014 over 80,000 SDG transferred to provide food to low-income families

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Russian Language Center

  • In 2013, in cooperation with Ms Sumeyye Abdel Aziz Hasan, Dean of the Russian language department at the University of Khartoum, Kush E&P sponsored the opening of the Russian Language Center named after the world famous Russian poet Alexander Pushkin.

  • Kush E&P completely renovated 2 rooms of the Center and purchased all the equipment and study materials

  • The Center houses a library of Russian literature, and  multimedia equipment

  • The opening ceremony for the Alexander Pushkin Russian language center took place on December 3rd, 2014, during the official visit of the Russian Foreign Minister Sergey Lavrov to Khartoum

  • Sudanese students attend regular lectures on Russian culture at the Center and get an opportunity to practice Russian language and communicate with diplomats from the Russian embassy

xploration:

  • over 2,500 samples collected

  • 5,000 linear meters of trenching

  • 47 core drilling wells; 41 RC drilling wells

  • 4 hydrogeological wells

 

Mining:

  • Mining license area (Wadi Ushar): 2 km 

  • Mining license term: 20 years

  • Stripping works, drilling and blasting works started July 2014

  • Mined bulk: 90 – 100 ths. m³ per month

 

Gold Processing Plant:

  • 150,000 tons of ore per year

  • Increase to more than 200,000 tons/y in 2016

  • Cyanide leaching technology

  • Gold recovery up to 90%

  • Gold production in 2015: ~ 700 kg

  • Gold production in 2016: ~ 1,700 kg (minimum expected)

 

o current tenders available

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