London Wall option agreement (Part 2): What’s in the ground, and why it’s so promising
The London Wall East Shaft headgear and hoist room.
Zimbabwe’s London Wall mine site: Historical production, onsite infrastructure, protective water table, modern mining methods could make for auspicious future
CALGARY, Canada (Dec. 3, 2024)—What do an underground water table, headgear and hoist-room equipment, and modern technology have in common?
Potentially, a lucrative future for Pambili Natural Resources Corporation at Zimbabwe’s London Wall gold mine.
Recently, Pambili announced an option agreement to acquire the London Wall group of gold mines and claims in Matabeleland Province. The option includes the previously producing London Wall and New Jessie mines—and that’s where things get interesting.
Why?
Historical gold production from both mines (see more below)
Of the London Wall mine’s three shafts, the West Shaft and the East Shaft have headgear infrastructure in place, while the East Shaft also has a hoist room that Pambili understands could be rapidly brought back into service
The London Wall’s West Shaft, which extends to 7-level (210 metres below ground), is believed to be flooded to 3-level; that high water table has provided a protective barrier to previous workings, making them inaccessible to artisanal miners, with shaft pillars therefore thought to be intact
Both the London Wall and New Jesse mines have been mined as recently as two years ago
Pambili believes existing static leach tanks already in place at the London Wall mine can be quickly renovated and brought back into production
A site near the London Wall mine’s East Shaft will be prepared for the installation of a 20-tonne-per-day crushing and milling plant already purchased by Long Strike Investments (Private) Limited, with whom Pambili has signed the option agreement
With some infrastructure rehabilitation, ore could be trammed to an ore bin for direct loading onto a trailer for transport to the above onsite processing facility
Pambili believes both the London Wall and New Jessie mines have significant potential to be explored, evaluated and reopened by using more modern methods and technologies—and we expect to bring at least one of these mines back into production within the term of the option agreement.
In addition to providing a potentially significant source of near-term cash flow via processing of tailings and sands, Pambili CEO Jon Harris says the agreement “provides time to further evaluate the claims and mines ahead of a possible exercise of the option.”
An evaluation of the underground workings of the London Wall mine’s East shaft “should define the scope and related cost of bringing the East Shaft back into production. Given that the shaft was last operated less than two years ago, we believe it should still be in good condition,” adds Mr. Harris.
Significantly, during the term of this option agreement with Long Strike (12 months, exercisable to 24 months), Pambili will retain 95% of any gross income generated from the claims and mines—with an unencumbered right to mine and develop assets.
The London Wall Ventilation West Shaft and Travelling Way.
What does history say?
The London Wall and New Jessie mines have recorded combined historical production of more than 4,500 ounces of gold at an average recovered grade of 11.9 g/t.
Recent miners have also reported significant silver production alongside gold.
Recorded production to date from the London Wall group of mines.
*—Mineral Resources Series No23. Gold Deposits of Zimbabwe, Bartholomew D.S. 1990
**—Geological Survey Bulletin No 36. The Geology of the Country around Gwanda. Tyndale R & Biscoe M 1940
Long Strike has applied for contiguous extensions to the claims, totaling 547.8 hectares in addition to the claims included in the option, which cover 173 hectares. Once granted, these extensions will be included in the option.