HARARE- Caledonia Mining says it is extending the Bilboes project Feasibility Study’s deadline to explore opportunities that may improve the project’s financial returns and decrease the necessary capital expenditure.
The Bilboes project’s feasibility study, handled by DRA Projects and other specialists, is now expected to conclude later than the initially planned first quarter of 2025. This extension is due to ongoing analysis of optimization opportunities.
One significant area being explored is the potential to sell concentrate to local authorities, which would allow the company to defer the large capital outlay of the BIOX processing circuit in the early production stages.
Chief Executive Officer of Caledonia Mark Learmonth, commented that, “Bilboes has the potential to be truly transformative for Caledonia, and the work we are doing now is about making sure we get it right. We are encouraged by the results to date and are taking a disciplined approach to optimisation-both to enhance returns and to ensure we can fund the project in the most efficient way possible.”
The company is strategically optimizing the Bilboes project by evaluating the relocation of the Tailings Storage Facility to their adjacent Motapa site for potential cost savings, and integrating Motapa’s near-term development into the Bilboes Feasibility Study. Promising exploration results at Motapa, revealing new mineralized zones close to the proposed Bilboes processing plant, indicate significant resource expansion potential, which could substantially enhance the long-term financial viability of a combined Bilboes-Motapa operation.
“With strong exploration results at Motapa, promising developments at Blanket, and supportive market conditions, we remain confident in Bilboes’ ability to significantly reshape Caledonia’s growth profile,” Learmonth added.
Caledonia Mining is actively exploring short-term revenue streams across its operations, with the recently discovered high-grade mineralization at the Blanket Mine potentially providing significant capital for the Bilboes project, offering greater financial flexibility.
The company’s board is dedicated to maximizing shareholder returns by optimizing the Bilboes project both technically and financially, while simultaneously engaging with funding partners and Zimbabwean authorities. An update on the Feasibility Study’s revised timeline will be provided as progress continues.
