Lake Victoria Gold Project Holds Nearly 600,000 Ounces Gold

Lake Victoria Gold’s Tembo project in Tanzania contains almost 600,000 ounces of gold. The company announced this initial resource estimate for the deposit, located next to Barrick Mining’s Bulyanhulu mine.

Tembo hosts 2.69 million indicated tonnes grading 1.16 grams of gold per tonne, totaling 99,700 ounces. It also holds 13.33 million inferred tonnes at 1.12 grams of gold per tonne, accounting for 480,100 ounces. Following the announcement, shares of Lake Victoria Gold rose 8.9% to 31 cents in Toronto, valuing the company at about $62 million (US$44 million).

The estimate covers three near-surface deposits: Ngula 1, Nyakagwe Village, and Nyakagwe East. Analyst Ben Pirie called the announcement a “major shift” for Tembo, moving it to an active development project. Lake Victoria Gold plans a 5,000-meter drilling campaign focusing on Ngula 1, which holds a higher-grade core.

Tembo is located about 600 kilometers north-northwest of Tanzania’s capital, Dodoma. It is one of two key projects for Lake Victoria Gold in Tanzania, alongside Imwelo. The company is also advancing a toll-milling agreement with Nyati Resources for a 500-tonne-per-day plant nearby.