DURATION GOLD LIMITED
PROGRESSES TOWARDS ITS GOAL OF BEING A LEADING GOLD PRODUCER IN ZIMBABWE
Duration Gold Limited (“Duration” or “the Company”), the Zimbabwe focused, private, emerging gold producer and explorer, resumed gold production one year ago today following the signing of the General Political Agreement (“GPA”) and subsequent dollarization of the Zimbabwe economy. These critical developments gave the Company much needed confidence to begin investing the millions of dollars necessary to achieve its long term goal of transforming typically small scale Zimbabwean gold mines into the large scale, modern mines that will play a leading role in re-igniting Zimbabwe’s fragile economy.
2009 HIGHLIGHTS
Over the course of 2009, Duration Gold has achieved the following goals:
• Re-employed over 1500 staff which the Company supported with food and basic necessities throughout the 2008 shutdown
• Resumed production at the Vubachikwe Mine, near Gwanda
• Commenced construction of the new 30,000 tonne per month Vubachikwe carbon in leach (“CIL”) plant
• Secured a gold marketing licence, permitting the marketing and sale of gold production on the international market
• Resource drilling programmes at the Athens Mine (Mvuma) and Vubachikwe Mine (Gwanda)
• Scout drilling at Auric Mine, Carry Mine, Tuff Nut Mine, Kernel Mine and the Tiberius Mine, all in the Bulawayo area
• Resumed operations at the Umviga mill and the Athens Mine
• Queens processing plant refurbished (15,000 tonne per month, milling and CIL)
• Started vat leach programme at Gaika Mine (Kwe Kwe) and Sunace Mine (Bulawayo area)
• Legal audit of all mineral titles
• First outside funding secured beyond Clarity Capital’s substantial investment
OPERATIONAL PLANS FOR 2010
During 2010, the Company plans to continue to accelerate Duration’s operations aiming to increase production which will result in further local employment.
• E+PC Strategic Alliance announced February 2010
• Commission the Vubachikwe CIL plant
• Resource drilling at Athens, Gaika, Vubachikwe, Queens and Royal Family assets
• Commission the Vubachikwe concentrate dump reprocessing project
• Pending completion of a final study, refurbish of the Umviga plant for the treatment of tailings and sand dumps
• Purchase and installation of independent power generation facilities at Vubachikwe to ensure security of power and uninterrupted operations
• Recruitment drive to hire both skilled and semi-skilled workers
• Feasibility studies aimed at increasing both open pit and underground production capabilities at mines located in the Midlands and Matabeleland areas.
2010 SOCIAL RESPONSIBILITY PROGRAMMES
As part of its social responsibility programme, Duration has engaged an independent researcher to conduct a study of the social and economic capacities of the communities where Duration operates. Progressive radial research methods are being applied as the first stage in assessing the needs of local communities leading to the selection of projects and businesses that will be beneficial to the communities where Duration operates. Input is being sought from workers committees, women’s organisations, small miners operating in the vicinity of Duration mines, civil society and other stakeholders.
Allan Dolan, Executive Chairman of Duration Gold commented:
“I am delighted with Duration’s progress in 2009. Operationally the Company is now on track to achieve its goal of becoming a leading gold producer in Zimbabwe.
Duration has also long invested in the well-being of its workers, their families and the communities in which they live. We look forward to the completion of the independent social and economic impact study to ensure that a solid foundation is in place to support future programmes. Duration is committed to this approach.”
Errol Smart, CEO of Duration Gold commented:
“2009 was an exciting year at Duration. With the dollarization of the Zimbabwean economy and the ability to sell our gold on the international market, we have been able to take important initial steps toward our goal of making Duration one of the leading gold producers in Zimbabwe. Political stability and a fair and attractive fiscal environment is a prerequisite to attract the significant foreign direct investment necessary to achieve our goals.”
For further information on Duration Gold and Clarity Capital please visit our website: www.claritycapital.com or contact one of the following:
Duration Gold
Errol Smart
Tel +27 (0) 83 3082044
John Muir
Tel +263 (0) 9 47 4547/4548
Clarity Capital
Allan Dolan/Carmen Storey
allan@claritycapital.com carmen@claritycapital.com
Tel +44 (0) 20 7591 4437 / 4436
Pelham Bell Pottinger
Charles Vivian /James MacFarlane
cvivian@pelhambellpottinger.co.uk jmacfarlane@pelhambellpottinger.co.uk
Tel +44 (0) 20 7337 1538 / 1527
Notes to Editors:
About Duration Gold and Clarity Capital Duration Gold Limited., a private Jersey, Channel Islands company, holds an extensive portfolio of gold mines and advanced stage projects in Zimbabwe. It is one of the country’s largest gold producers. Mining recommenced in mid February 2009 with the blessing of the Transitional Government. The company currently employs over 1,500 Zimbabweans.
Clarity Minerals Ltd., is an African based, integrated, private mining house wholly owned by Jersey headquartered Clarity Capital Group. Clarity's international mineral team consists of over 30 highly experienced technical and commercial specialists that thrive on founding and growing successful mineral companies in Africa. Clarity's current company portfolio consists of 8 project companies with operational offices in Africa, including Zimbabwe, and corporate offices in the UK, South Africa and Canada. Clarity strives to deliver extraordinary capital appreciation through responsible mineral exploration and development.