PMI GOLD - COMMITTED TO GOLD PRODUCTION IN GHANA, AFRICA'S SECOND LEADING PRODUCER
PMI Gold's properties are all located in Ghana's Golden Triangle, an area in southwest Ghana with combined current reserves and historical gold production of 168 million ounces. Gold has been mined in Ghana for over 1000 years, and the famous AngloGold Ashanti Obuasi mine has been in continuous production for 110 years.
PMI Gold now has interests in 12 concessions known as the Ashanti II Gold Project, and located on the Asankrangwa Gold Belt, and in two Mining Leases and four concessions on the Ashanti Gold Belt, for a total area of 537 square kms.
THREE FORMER PRODUCERS ACQUIRED NOVEMBER 2006
In November 2006, PMI Gold acquired, by application to the Government, the 89 square km Abirem and Abore concessions, which cover the former Obotan Mine operations of Resolute Mining of Perth. In August 2007, PMI Gold acquired the Edubia gold lease thereby joining our Abirem and Abore concessions together. This acquisition gives the Company an additional 4,500 metre long and highly prospective gold in soil anomaly which is on strike with and a part of a continuous 13,000 metre long trend on our concessions with host the former Nkran mine and the African Star deposit. Located eight km northeast of Nkran, gold mineralization at Edubia may fit in with our model to develop deep, underground resources.
NEVSUN'S KUBI GOLD PROPERTY PURCHASED SEPTEMBER 2007
In September 2007, PMI Gold announced an agreement had been reached with Nevsun Africa (Barbados) Ltd., a wholly owned subsidiary of Nevsun Resources Ltd. of Canada, to purchase its Kubi Gold Project located 20 kilometres south of AngloGold Ashanti's Obuasi mine and 46 kms southeast of our Obotan Gold Project.
Golder Associates has issued a NI43-101 compliant report based on 212 diamond drill holes and released a Pre-Feasibility/Scoping level study recommending moving to a full feasibility study for production from Kubi. PMI Gold believes there is strong potential for significant tonnage of +6.5 g/t ore within steeply plunging ore shoots within the outlined resource, mineable using conventional narrow, selective mining methods. Significant further capital will be required to complete the above program, to be raised through a combination of equity and project financing, and which will be dependant on further positive engineering reports.