Caracal Gold PLC – Corporate Update and Q1 2023 Operations Summary

Caracal Gold plc, the East African gold producer with over 1,300,000oz JORC-compliant gold resources, provides a corporate update and progress report on its operations and exploration activities for the quarter ended 31 March 2023 (‘Q1 2023’) specifically, the Company’s Kilimapesa Gold Mine and Processing Operation in Kenya (‘Kilimapesa’ or the ‘Project’) and the high grade, shallow gold Nyakafuru Gold Project in Tanzania.

Corporate Update


On the 16th February the company announced it had drawn down US $1m from ORCA Capital GmbH (ORCA) via the issue of secured convertible loan notes. In addition the company granted ORCA the option to subscribe for a further US $4m of loan notes. The company has continued to progress financing arrangements for the Kilimapesa expansion project, legal and technical due diligence processes are underway with the preferred funder. Philoro Global Trading AG (‘Philoro’) have confirmed their commitment to participate in the funding, this is dependent on the company securing the balance of financing required to fully fund the Kilimapesa expansion project.

Regulatory Disclosure

The Company reached a settlement with Mill End Capital Limited (“Mill End”), the details of which were announced by RNS on 12 May 2023.

Submission of a Prospectus

The Company submitted the first draft of the prospectus to the FCA for approval on 18 April 2023.  The Company is working with its advisers to seek approval of the prospectus by the FCA and will update the market in due course.

Board Composition

Mr. Simon Gaines-Thomas resigned from his role as Non-exec Chairman in mid January. Mr Simon Grant-Rennick was nominated to the role as Executive Chairman and this nomination was subject to certain final commercial negotiations and legal formalities which were completed and his appointment announced on 26 April 2023.

Corporate Governance

The corporate governance review initiated is ongoing.

Q1 2023 Operations Summary


·    Due to the delay in funding, activities around the expansion and operations were limited during January and the 1st half of February.

·    Activities recommenced at the Kilimapesa Mine from the middle of February. These included:

 Heap-leach operations recommencing on 5 March,

 Milling operations recommencing on 8 March,

 Open cast mining recommencing on 5 March,

 Underground mining operations are not planned to reopen until funding is secured,

·    A high-grade zone was discovered on the Kilimapesa Hill deposit and mining commenced on this zone on 9 March,

·    Work on the expansion continued with:

 Delivery of new jaw crusher,

 Delivery of new excavator and bull dozer,

 Pad 4 construction commenced.

·    Desk top work was completed for the planned drilling program at the Nyakafuru Gold Project in Tanzania.

Robbie McCrae, CEO of Caracal, said,

“Q1 of 2023 was a trying time for Caracal Gold stakeholders and I am very grateful to all stakeholders for their support to the Caracal and Kilimapesa teams who, under very difficult circumstances, have pulled us through the Q1 period.

The discovery and processing of the High Grade zone on the Kilimapesa Hill has assisted greatly in March and the gold price has also been kind to us during March – the production numbers for the quarter are down but when you consider the production only recommenced on 5 March we are well positioned for the Q2 period.

The Mill End financing has been settled and the draft prospectus lodged with the FCA to commence the approval process.

Activities to secure the expansion funding have progressed well during the period and we expect to announce financing in due course.”





Q4 – 22

Q1 – 23

Mined tons



Treated Tons



Smelted ounces Au



Stockpile tons

7,715 @ 1.47g/t

11,504 @ 2.23g/t

·   The Open pit was put on care and maintenance for the first two months of the quarter and resumed production on the 8th of March 2023.

·   A total of 400 tonnes of low-grade ore was mined at an average grade of 1,38 g/t.

·   High-grade zones were identified and opened up the 2A section producing 11,645 tonnes at an average grade of 3,98 g/t.

·   A total of 2,946t waste was mined.

·   The Kilimapesa processing plant was on care and maintenance for the first 2 months of the quarter and resumed normal production on 5 of March 2023.

·   The plant processed a total of 6,246t at an average grade of 3.60g/t through the CIL circuit and a further 12,858t at an average grade of 1.25g/t through the Heap leach circuit to realize a total of 627 ounces in gold sales.


Exploration work focussed on the near mine areas on the Kilimapesa Hill deposit.

A high-grade zone was discovered and sufficient ore to support 13 months of high-grade ore processing defined.

No exploration drilling was completed.

Safety, Health and Environment

Work continued on the approval of the Open Pit and Exploration Impact Assessment with NEMA.

Ongoing support of employees with various training programmes completed and underway.

Four minor accidents were reported during the Q1 period.


Desk top work was completed for the planned drilling program at the Nyakafuru Gold Project in Tanzania. 

For further information visit or contact the following:

Caracal Gold plc

Robbie McCrae

[email protected]

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