Kavango Resources Secures £6.5 Million Strategic Financing for Gold Mining Projects
KAVANGO Resources, a mining company with operations in Matabeleland, announced this week that it has raised £6.5 million in strategic financing to advance its gold mining projects in Zimbabwe. The funds will also support local exploration initiatives, projects in Botswana, and general working capital needs.
The company stated that the financing is subject to the approval of a prospectus by the Financial Conduct Authority and shareholder approval at an upcoming general meeting.
Kavango’s Chief Executive Officer, Mr Ben Turney, said:
“We’ve recently announced Kavango’s plans for Prospects 3 and 4 at the Hillside Gold Project in Zimbabwe. If the next phases of resource and exploration drilling meet our expectations, we aim to begin developing two projects, with mining operations expected to commence by the end of 2025.”
He added that the company has been laying the groundwork for this growth phase in recent months.
“Through our subsidiary, Kavango Mining, we have recruited a dedicated mining team and implemented processes in preparation for operations. We have hired an experienced Australian mining engineer skilled in modern mechanised methods and lode gold systems, who is overseeing our strategy to move into mine development.
“Additionally, we have engaged a South African gold processing plant manufacturer to conduct initial metallurgical test work on ore samples from our project areas.”
Kavango Resources, which entered Zimbabwe’s mining sector last year, holds investments in various minerals, including copper in neighbouring Botswana.
Meanwhile, the company plans to list on the United States dollar-denominated Victoria Falls Stock Exchange (VFEX). This move is expected to offer Zimbabwean investors the opportunity to participate in Kavango’s exploration and mining initiatives.
Listing on the VFEX will also provide the company with access to a broader capital base and shareholder pool, aligning with its strategic objective of promoting strong local ownership of its projects.
The VFEX, established in 2020, is part of Zimbabwe’s efforts to develop an International Financial Services Centre. It operates within a Special Economic Zone in Victoria Falls.
Source: https://www.chronicle.co.zw/