AIM: SHG.L
4.32p   -0.05p

New Luika Gold Mine

The low-cost New Luika Gold Mine, which is located in the Songwe District of South Western Tanzania approximately 700km south-west of Dar es Salaam, achieved its first commercial production in 2012.

The ore bodies at New Luika comprise high grade (>6 grammes per tonne of gold), medium grade (3 – 6 grammes per tonne of gold) and low grade (1 – 3 grammes per tonne of gold) ore which average 3.9 grammes per tonne of gold.

The processing is metallurgically simple and conventional involving proven crushing and milling techniques with carbon-in-leach gold extraction delivering robust gold recoveries (average 91% recovery).

The high quality of the resources combined with tight operational control, makes New Luika one of the lowest cost gold mines in its peer group and on the global cost curve.

Underground Mining

HFO Power Plant

Tailings Storage Facility 1

Tailings Storage Facility 2

Tailings Storage Facility 2

Tailings Storage Facility 1

HFO Power Plant

Underground Mining

New Luika Reserves & Resources (31 December 2016)

Gold Oz (000s)
Deposit Reserve grade (g/t) Reserve Resources
Bauhinia Greek 6.2 253 167
Luika 4.9 73 158
Elizabeth Hill 1.3 32 83
Jamhuri 2.0 7 75
Illunga (UG + OP) 5.2 135 92
Shamba 2.2 16 8
Black Tree Hill na na 8
Black Tree North na na 59
Luika South na na 32
Nkuluwisi* na na 141
Total NLGM 4.4 515 824

The regional geology of the Lupa Goldfield is characterised by deformed, folded, sheared and metamorphosed paleoproterozoic rocks with major fold axes trending east southeast to west northwest. The following main lithological units occur in the region:

  • Ilunga Granite Formation
    The Ilunga Granite is located in the northern portion of the Lupa Goldfield and is mostly comprised of a medium to coarse grained leucogranite (aplogranite). Biotite and muscovite are commonly associated secondary minerals.
  • Saza Granite Formation
    The Saza Granite is located in the central portion of the Lupa Goldfield and consists of numerous rock types including hornblende rich granites and hornblende-biotite rich granodiorites.
  • Gneiss Formation
    The Gneiss Formation, the main ore bearing host, is the dominant rock unit within the Lupa Goldfield. The Gneiss Formation has been subjected to at least three granitic intrusive events that have given rise to a variety of rock types such as felsitic gneiss, biotite and hornblende granite gneiss, leucocratic granular gneiss. Diorite, granodiorite and granite rocks are evident within the Gneiss Formation.

Mineralised quartz veined targets are hosted within brittle-ductile to ductile deformational features of variable orientation.

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