Resource World Magazine

also through institutional infrastructure, including administration and justice," she told Resource World. Revisions by various states to their mining codes should be closely monitored. Bahamin highlighted several examples, including Mali, which recently reformed its mining code. "[It] maintained the state equity at 10%, but provided for a 5% equity to 'local interests'," she said. "Burkina Faso, which is generally considered a good jurisdiction, is also proposing to amend its code, mostly to increase the taxes, although there is no plan to increase TRUE GOLD MINING CLOSES $9.99 MILLION FINANCING WITH TECK RESOURCES True Gold Mining Inc. [TGM-TSXV] has closed a $9,999,999.90 non-brokered private placement with Teck Resources Ltd. [TCK.B-TSX; TCKNYSE]. True Gold issued 30,303,030 shares at a price of $0.33 cents per share to Teck. Teck now holds 32,053,030 shares, representing approximately 15% of shares outstanding. Proceeds of the placement will be used to accelerate exploration at True Gold's Karma gold project and the Liguidi Project in Burkina Faso, West Africa, and for general working capital purposes. True Gold completed a preliminary economic assessment on the Karma Project in September 2012. The PEA, based on US $1,350/oz gold, demonstrated a two-year payback, direct cash costs of $525/oz and $125 million for start-up and working capital. There is an indicated resource of 1.03 million ounces gold averaging 0.94 grams/ tonne. A feasibility study should be completed by year end. Located 200 km southeast of Karma, the Liguidi Project is an earlier stage gold project where mapping, soil sampling and RC drilling are planned. JUNE 2013 state equity." Still, there is cause for overall optimism; Sub-Saharan Africa has grown at a rate of around 5% per year since 2000. The rapid increase of Chinese investment into African commodities is also noteworthy. And with this growth has come greater stability, both in society and government. Business has responded positively to these improving conditions, as reflected in Ernst & Young's 2013 attractiveness survey of Africa. "Our respondents ranked Africa… ahead of the former Soviet states, Eastern Europe, the Middle East, Western Europe and Central America," it said. For companies, the rewards in Africa can be immense and the deposits sometimes bonanza in scale. Meanwhile, for the resource investor, the age-old adage caveat emptor, let the buyer beware, is never truer when seeking out his or her African fortune. African Gold Group Inc. [AGG-TSXV] has three gold projects in Ghana and the Kobada gold project in southern Mali. New assays were reported for 85 near-surface (oxide), RC drill holes. Highlights include hole KBRC12-160 with 75 metres of 3.06 grams gold/tonne, hole KBRC12-201 with 85 metres of 1.27 g/t and hole KBRC12-208 with 72 metres of 1.79 g/t. Allana Potash Corp. [AAATSX] is advancing the Dallol potash project in Ethiopia's northeastern Danakil Depression. Effective February 2, the project's proven sylvinite reserves stand at 32.97 million tonnes, grading 28% potassium chloride (KCl), while probable reserves are 60.81 million tonnes, grading 28.8% KCl. On April 18, the company announced it had filed its feasibility study for the project with the Ethiopian ministry of mines.   AngloGold Ashanti Ltd. [AU-NYSE; ANG-JSE] has operations across Africa. On April 1, it released its annual report for 2012. South African output totalled 1.21 million ounces gold, down by 412,000 ounces gold from 2011. The decline was due to difficult operating conditions, safety-related stoppages, and an industrywide strike, the company said. Meanwhile, output at other African operations slid by 3%, dipping to 1.52 million ounces gold. Amara Mining Plc. [AMZ-TSX; AMA-LSE] holds the Kalsaka/Sega gold operation in Burkina Faso; the feasibilitystage Baomahun gold project in Sierra Leone; and the Yaoure exploratory-stage gold project in Côte d'Ivoire. Production guidance for 2013 is 50,000-60,000 ounces gold, which compares with 53,544 ounces gold for full-year 2012. Asanko Gold Inc. [AKG-TSX] is developing the Esaase gold deposit in Ghana. At a 0.8 g/t gold cut-off grade, the project has 3.83 million ounces gold measured and indicated averaging 1.73 g/t gold. On February 21, Asanko announced the conclusion of its integrated metallurgical testing program of Esaase ores. This is a key step for the completion of its on-going pre-feasibility study. Aureus Mining Inc. [AUE-TSX] is advancing the New Liberty gold project in Liberia, which has estimated proven and probable reserves of 910,000 ounces gold, grading 3.3 g/t. Early-stage earthworks are now being dug. Mine life is estimated at 8.5 years with annual output at 120,000 ounces gold for the first five years. On March 20, Aureus announced it was working with South Africa-based Nedbank and Rand Merchant Bank to establish a debt facility of up to $108 million. The company also has gold exploration permits in Cameroon. B2Gold Corp. [BTO-TSX; BGLPFOTCQX; B2G-NSX] is progressing at the Otjikoto gold project, Namibia. Scheduled to come on stream in 2015, the project has probable open-pit reserves of 29.4 million tonnes, grading 1.42 g/t gold for 1.34 million ounces gold. On April 10, the company announced additional drill results, including the step-out hole WH12-345, which intersected 4.82 g/t gold over 35.7 metres. Caledonia Mining Corp. [CAL-TSX; www.resourceworld.com 15

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