Konongo Projects - Project Info

On 11th February 2017, SMG entered into an initial 3-year mining rights agreement under a joint venture for alluvial gold in the Konongo Project through a Ghanaian consulting company, Tecdrill Company Limited.

Soon Mining Limited has the right to mine and process gold freely within the designated area and SMC will retain 85% of gold production. Subject to the performance of the mining program, the agreement may be reviewed and the current 50 acres mine site could subsequently be expanded. The Konongo Project is fully permitted with the mining lease valid until 2023.

The Konongo Project at Konongo in the Asante Akim Central of the Ashanti Region of the Republic of Ghana. It is west of the Soon Mining Kwahu Praso Project and is on the western margin of the northeast trending of the world class Ashanti Gold Belt. The Konongo project comprises of 16 known gold deposits situated along the 12km strike of the Ashanti Gold Belt of Ghana - It covers nearly 192km2 of the belt area.

The designated mining area is in the east of Konongo Project and we are planning to commence alluvial gold production along both sides of the upstream and downstream of the Subin River.

The area has a rich gold mining history. Since the early 1900s, Konongo has produced over 1.6 million ounces of gold from high-grade ore at 11.8 grams per tonne, mostly mined from underground.

 

Infrastructure

Konongo Gold Project is accessible via a sealed national highway and bitumen roads from Accra, Kumasi and from the Tema Port in Accra. It is close to the national Accra-Kumasi railway and is also in proximity to port facilities at Takoradi, which is 300km south of the project area.

Ghana's national high transmission electricity grid runs through the project area. Water is supplied from boreholes and all other support business and services are located within 50km of the project area in Kumasi.

The regional centre of Kumasi is within 40 kilometres and contains all necessary support businesses and services for the mining industry including equipment suppliers, mining and earthmoving contractors and skilled workers and tradespeople. Kumasi also has an airport with daily flights to Accra.