The Hong Kong-based investor now holds more than 46.645 million shares which have been accumulated through participation in private placements.
Zenith became a substantial shareholder on January 31, 2019, by purchasing more than 22.2 million shares for a 6.23% interest.
Shares in TGM, which has a market cap of about $57.2 million, last traded at 15 cents.
A recently completed feasibility study for the Theta project confirmed positive economics and the project’s commercial viability.
This is supported by a global mineral resource recently updated to 6.026 million ounces grading 4.18 g/t gold within the greater TGME project in South Africa.
The study, which targets a small portion of the Theta Hill deposit, has forecast a bottom-quartile cost open-pit gold operation.
This starter operation has forecast 200,905 ounces to be produced over five years generating free cash flow of US$65.7 million.
Theta Gold’s chairman Bill Guy said: “Despite only a small part of the resource base being converted into a mining reserve, the feasibility study confirms that the project has very favourable economics and viability.
“The remaining unconverted resource will be subsequently drilled out and I expect that further resources will be converted into reserves.
“Furthermore, the high-grade ore deposits at Theta appear to extend to the south into MR341.
“In the near future we expect to drill MR341 and look forward to potentially adding significant additional reserve/resources to the Theta project.”
Theta is initial focus
The company’s core focus within TGME is the Theta project, which hosts an ore reserve and is the subject of the feasibility study.
TGM aims to build a solid production platform starting with this project and based primarily around shallow, open-cut resources.
Guy said: “Theta Gold is fast-tracking the company’s very large mineral resource into an increased ore reserve.
“The historical mining techniques of the mineral field in which we operate has meant the company has traditionally carried a large percentage of its resources in Inferred categories.
“We have shown in a very short period of time that we have the capacity to deliver an initial ore reserve and extra ounces into the Theta Project (Open Cut).
“We are very excited about the potential to follow-up these results with future reserve conversions.”