Karma is a mesothermal, shear-hosted gold deposit. The soft nature of the open pit material allows the majority of the ore and waste to be excavated without blasting, making it a low cost operation. Production began in early 2016 from five open pits and ore is processed with heap leaching. Recoveries are averaging between 85% and 90% and gold production from Karma totaled 98 kozs during 2017.
Karma hosts a target-rich landscape with the essential hallmarks of a multi-deposit environment. The property consists of six contiguous exploration permits (Goulagou, Rambo, Kao, Rounga, Youba, and Tougou) totaling more than 900 km2 and includes more than 45 high-priority targets with high-grade rock values associated with gold-in-soil anomalies and historical workings that remain untested.
The Proven and Probable Reserves as of Dec. 2016 totaled 37.9 Mt of 0.9 g/t material for 1.1 Mozs of contained gold (cut-off grades are 0.2 – 0.5 g/t depending on oxide, transition and sulphide material).
Gold production in 2018 is forecasted to be 105-115 kozs of gold at an AISC of $780-$830 per ounce. Mining activities in the second half of 2018 are expected to benefit from oxide ore from the Kao deposit. This is expected to have higher grades, higher recovery rates and lower unit costs.
In the first half of 2018, more than 23,000 metres were drilled mainly focused on the eastern extension of the North Kao deposit, Yabonsgo, and Rambo West. A further 5,000 metres of exploration drilling are expected to be completed in the second half of 2018.