Kingston Resources Ltd (ASX:KSN) (FRA:RZZ) has appointed highly experienced industry veteran Geoff Callister to help lead the company’s project approval and social responsibility programs at its 3.6-million-ounce Misima Gold Project in Milne Bay Province of Papua New Guinea.
The appointment will expand Kingston’s in-country management team as the project progresses through mining studies and regulatory approvals.
Callister will steer preparation of the environmental impact statement (EIS) and mining lease application for the project and will manage the critically important engagement with local communities, landowners and the government.
He will work alongside the Misima exploration manager, Andrew Harwood, who is a highly capable geologist with more than 30 years’ experience in the mining industry.
Accelerate next stage of development
Kingston’s managing director Andrew Corbett said: “Following the completion of the highly successful Misima PFS in late 2020, we are absolutely delighted that Geoff has accepted this key position with Kingston to accelerate the next stage of project development.
“Geoff brings a set of vital skills around positive social and community engagement and environmental and mining approvals to the Kingston team.
“Besides, he has extensive professional experience working at Misima Island and more broadly within Papua New Guinea.
“Geoff’s experience includes five years working with Placer Dome as the sustainability planning and mine closure officer at the Misima Gold Mine.
“He has also worked at the Lihir Gold Project, the Porgera Gold Mine and on the Frieda River Project – all landmark PNG projects.
“We are very much looking forward to Geoff joining the Kingston team as we move to the next exciting stage at Misima.”
Callister’s experience
Callister is a social performance manager with more than 20 years of experience in the mining industry, and his expertise includes project implementation, stakeholder and government engagement, community development and natural resource management.
His earlier assignments include advising various levels of the PNG Government, aid and bilateral agencies, local civil society, small businesses, international NGOs, and he has also worked with mining companies including Placer Dome, Barrick and Newcrest.
Most recently, he worked on gaining approvals for the Freida River Project as in-country lead for the PanAust team which successfully delivered the full feasibility study, EIS and environmental permit and Special Mining Lease applications to the PNG government.
PFS for Misima
In November 2020, Kingston delivered the pre-feasibility study (PFS) for the Misima project, forecasting annual gold production of around 130,000 ounces at an all-in cost of $1,159 per ounce over an initial 17-year mine life.
Alongside the PFS, a maiden 1.35-million-ounce gold reserve was reported as well as an upgraded 3.6-million-ounce resource.
The PFS projected life-of-mine revenue of almost $5 billion, free-cash-flow of $1.5 billion, a pre-tax Net Present Value of $822 million and an Internal Rate of Return of 33% based on a conservative gold price of US$1,600 per ounce.
At a gold price of US$1,900/ounce, the project delivers an NPV of $1.28 billion and an IRR of 48%. Kingston currently has two diamond drill rigs undertaking extensional and infill drilling within the existing resource area.
It is also advancing the environmental and approvals program, which Callister will now lead, in preparation for the commencement of the definitive feasibility study in the second half of 2021.