Online Reporter
Sikhulekelani Moyo, [email protected]
VICTORIA Falls Stock Exchange-listed gold producer Caledonia Mining Corporation Plc has reported a 22 percent increase in measured and indicated gold resources at its Blanket Mine in Matabeleland South, driven by continued underground drilling and surface exploration.
In an update following drilling results announced in June 2025 and April 2026, as well as surface exploration work reported last month, the Toronto and NYSE-listed miner said underground measured and indicated resources at Blanket had increased to 2.178 million ounces, from 1.789 million ounces as at December 31, 2023.
The resources are contained in 17.7 million tonnes grading 3.83 grammes per tonne.
The estimates have been prepared in accordance with Canada’s NI 43-101 reporting standard on a 100 percent project basis.
Caledonia said it would file an updated NI 43-101 technical report with SEDAR+ within 45 days, incorporating a restated life-of-mine plan and a new mineral reserve estimate.
Chief executive officer Mr Mark Learmonth said the results confirmed that mineralisation at Blanket continued at depth, with grades and widths generally improving.
“Following the commissioning of the Central Shaft in 2021, Caledonia has used the increased operating capacity to re-start underground exploration,” said Mr Learmonth.
“We have invested $33.733 million in deep drilling at Blanket over the last six years, enabling the addition of 1.279 million ounces of measured and indicated gold before depletion — a discovery cost of $26.42 per ounce.”
He said a technical study evaluating options to deepen operations below the current 1 100 metres below surface was well advanced and expected to be completed by the end of 2026.
The company also highlighted a new surface oxide orebody which could provide an additional source of gold in the near term.
Metallurgical test work has shown recoveries of up to 67 percent using heap-leach processing, with Caledonia set to begin work on a trial heap-leach pad and a 10 000-tonne bulk sample.
The company has also applied for environmental approvals for an oxide mining and processing operation.
“Subject to the success of the evaluations and receipt of the necessary environmental approvals, oxide mining and processing may commence in the first half of 2027 with a target mining rate of 40 000 tonnes of ore per month,” said Mr Learmonth.
Below the oxide zone, drilling also intersected a small sulphide resource estimated at about 8 000 ounces.
Mr Learmonth said the sulphide resource required further evaluation but could potentially provide incremental feed to Blanket’s existing processing plant from shallower levels, reducing pressure on deeper, high-volume production areas.
The sulphide mineralisation could potentially be accessed through open-pit mining after removal of the oxide ore or by extending existing underground infrastructure on level seven at the Sheet Orebody.
Further exploration is planned for 2027 to test for extensions at depth.
“Together, these developments demonstrate the untapped potential that remains within the Blanket mining area,” said Mr Learmonth.
“I look forward to providing further updates as these workstreams progress.”
Blanket Mine is Caledonia’s flagship asset and one of Zimbabwe’s major primary gold producers.
The resource upgrade comes against a backdrop of strong gold prices and continued investment by mining companies seeking to expand reserves and extend the productive life of major Zimbabwean mines.
