Theta Gold Mines Ltd (ASX:TGM) (OTCMKTS:TGMGF) non-executive chairman Bill Guy has outlined the company’s investment rationale at Proactive’s Gold Webinar on May 11, with a key focus on its gold project in South Africa.

The company controls the Eastern Transvaal Gold Fields, where South Africa’s gold mining industry started almost 130 years ago.

Theta’s assets include more than 62,00 hectares of gold mining rights, covering most of the Eastern Transvaal Gold Fields, around 350 kilometres east of Johannesburg.

Growing South African gold story

Recently, a maiden underground pre-feasibility study (PFS) based on only 16% of Theta Gold’s 4.5 million ounces of underground gold resource was completed, which incorporated only three out of the recorded 43 historical mines across the project area.

The PFS sets out the three-mine operation, which targeted more than 60,000 ounces of gold – later expanding to six mines at 160,000 ounces within a five-year period.

Transitioning to producer status in 2022

Guy said: “We expect to be transitioning into producer status by the end of 2022.

“During the year we will be increasing our mining reserves going forward, there will be more updates on plant design and metallurgy as well as exploration updates and developments and talks about project financing.”