Capital Drilling will continue underground exploration and underground grade control drilling services at AngloGold Ashanti’s Geita gold mine in Tanzania after the two companies agreed a one-year contract extension.
The contract extension will commence in January and use the existing underground drill rig fleet, currently located on site.
The underground drilling services represent a sub contract of the comprehensive drilling services contract with Geita, which encompasses blasthole, grade control, delineation, exploration and underground drilling. The master contract is a five-year contract running to December 2020, with Capital Drilling having commenced drilling operations at the Geita gold mine in 2006.
Jamie Boyton, Executive Chairman of Capital Drilling, said: “The experience Capital Drilling has gained at the Geita gold mine over the past 13 years underpins our strategy of targeting Tier 1 long-life assets with quality operators. We continue to deliver excellent operational results for AngloGold Ashanti and are pleased to have the extension of the underground drilling contract for a further year.”
Geita, a multiple open-pit and undergoing operation 120 km from Mwanza, produced 539,000 oz of gold at an all-in sustaining cost of $941/oz in 2017.
Capital Drilling provides specialised drilling services to mineral exploration and mining companies in emerging and developing markets, for exploration, development and production stage projects. The company currently owns and operates a fleet of 91 drilling rigs with established operations in Botswana, Côte d’Ivoire, Egypt, Ghana, Kenya, Mali, Mauritania and Tanzania.