Evander South Mineral Resource

In 2012 ExplorMine Consultants was commissioned by Harmony Gold Mining Company Limited to assist with exploration, complete a geological model, a Mineral Resource estimate and Technical Report following the principles of the South African code for Reporting of Exploration results, Mineral Resources and Mineral Reserves (SAMREC Code) in support of a Mining Feasibility.The Project has since been sold to Pan African Reosurces PLC.

The Mineral Resource estimation is based on historic borehole and mining (chip sampling) data collected since the 1950’s to present.

The Evander Basin is located on the north eastern margin of the Achaean Witwatersrand Gold Basin, which is located on the Kaapvaal Craton in South Africa. The Evander South Project is focused on the Kimberley Reef which, like the bulk of Witwatersrand gold mines is stratigraphically located within the Central Rand Group.

The Evander Basin is a tectonically preserved sub-basin outside the main Wits Basin and forms a symmetric syncline. It is structurally complex, with a series of east-northeast striking normal faults, and in the southeast margin of the basin, vertical to locally overturned reef is present. The Evander Basin is approximately 50 kilometres (E-W) by 30 kilometres (N-S).

The Kimberley Reef uncomformably overlies the footwall beds and was deposited on a very even slightly undulating paleosurface. The reef represents a braided stream deposit that varies in thickness from no presence (commonly referred to as waste on contact or WOC) to more than 3 meters thick. The reef is oligiomictic in nature and comprises a composite sequence of channel sediments that define gravel bars and sand bars with pebbly veneers.