Canada’s Osino Resources may seek around N$3.8 billion (US$250 million) in 2022 to build a gold mine at its Twin Hills project in Namibia, CEO Heye Daun said.
The current estimate for the project’s construction capital is around US$200 million, Daun says. Through the ongoing exploration drilling and technical optimisation, it is “very likely that the ultimate project capital will grow significantly, likely to around US$250 million or more,” he says.
Twin Hills was discovered by Vancouver-based Osino in 2019. The project is currently in the feasibility-study stage, which is estimated to be concluded during 2022. If construction commences in late 2022, the project could produce first gold in 2024, after a construction period of 15 to 18 months, Daun says.
This comes as the miner is currently seeking to raise about N$160 million (US$10.5 million) through a Private Placement, with proceeds intended for exploration and development of the company’s Twin Hills gold project in central Namibia, comprising drilling, assaying, technical studies, surface right acquisition and for working capital and general corporate purposes.
The announcement by the exploration company comes after it applied for a mining license with the Ministry of Mines and Energy in August under Namibia’s Minerals (Prospecting & Mining) Act of 1992 for its flagship Twin Hills Gold Project.
The mining license application is for a term of 20 years and covers an area of 6,229.7 hectare and plans to conclude the process over the next 12 months.
The application came after the company released a Preliminary Economic Assessment, being a study that includes an economic analysis of the potential viability of a project’s mineral resources on Twin Hills earlier. The Brief/Africa Report
