Some DD off their Facebook PageLooks like their first investment, will be in gold, but it will be a producing mine. Which is a lot better than leasing land and finding nothing: A producing mine provides instant cash flow.
Through my experience with a number of gold projects, I have identified an opportunity to earn into a producing gold mine in Zimbabwe. The Pennine board has reviewed this project and has agreed that this could be the building block on which to expand Pennine’s interests in the region.
Why Zimbabwe? Although the Zimbabwe Archean Craton hosts some 800 recorded gold deposits with more than 6,000 identified gold occurrences, the country still produces far less gold than similar cratons in the major gold producing regions of Tanzania, Australia and Canada.
Despite their known potential, most of the known deposits in Zimbabwe remain largely untapped. Greenfield exploration has been sporadic for a number of reasons, not least being the hyper-inflation in the early 2000s. Mining has been predominantly “on reef” and financed through internal cash flow, with few projects being able to raise capital on public markets.
Pennine’s initial objective is to earn-in to a producing mine and raise funds to complete an NI 43-101 resource estimate for the deposit. Thereafter, the company will seek to raise development capital through a public offering in order to fully exploit the resource.