Gold explorer eyes NSX next
28 June 2013 | Business
Canadian-based exploration company Giyani Gold was officially listed on the Johannesburg Stock Exchange (JSE) on Wednesday, boosting its potential to explore a number of potentially lucrative areas in southern Africa.
Also listed on the Toronto Stock Exchange, Giyani Gold said in a statement issued yesterday that it intends to list on the Namibian Stock Exchange soon.
It currently has no exploration activities in Namibia, but said despite the international gold price dropping to a near three-year low on Wednesday, the country would be important in positioning it for strategic growth.
“Our listing on the JSE is part of our strategy to capture regional investments, including our Namibian funds,” Giyani's Namibian partner and vice president of business development, Knowledge Katti, told Namibian Sun on Wednesday.
The most prominent of the company's current developments is its plan for a 70 km long and 15 km wide, multimillion-ounce-producing gold operation in South Africa's northwest province of Limpopo, known as the Giyani greenstone belt.
The area was once known for its rich shallow gold deposits, boasting five mines that produced 450 000 ounces of gold in total, according to figures obtained from the mining website miningweekly.com.
Giyani has based its hope on the region's geological similarity to that of the 170-million-ounce-producing gold operations in Canada's Hemlo and Timmins areas.
Giyani on Wednesday issued 54,6 million shares at first trade, and its listing on the JSE has raised the company's cash resources to about 2,1 million Canadian dollars.
“The listing will provide the company with an additional platform to raise capital for growth in addition to raising the company's profile and investor base in the region,” Giyani gold president Charles Allen was quoted as saying yesterday.
The company has stated that, in order to increase its chances of success at increasing depths, it would implement newer technologies and techniques.