Join our daily newsletter At The Bell to receive exclusive market insights
- Toubani Resources is set to update the 2021 definitive feasibility study (DFS) for its Kobada gold project in southern Mali
- The DFS update will assess potential higher processing rates and aim to increase the project’s annual gold production
- The update encompasses a drilling program to convert inferred mineral resource estimates to the higher-confidence indicated category
- Toubani CEO Phil Russo says Kobada has the potential to be the next West African gold mine of “significant” scale
- Toubani shares are up 12.9 per cent, trading at 17.5 cents at 2:59 pm AEST
Toubani Resources (TRE) has announced plans to kickstart an update to the 2021 definitive feasibility study (DFS) for its Kobada gold project in southern Mali.
The DFS update aims to assess a potential higher processing rate and increase the project’s annual gold production, with the initial oxide-focused project phase set to be followed by the inclusion of fresh material later in the mine’s plan.
Toubani believes a bulk tonnage oxide mining and processing operation will have a less risky technical profile overall including minimal drilling and blasting, with crushing and grinding circuits simplified, making them less power intensive.
The DFS update will kick off this month, making the most of both oxide and rock project phases, including “significant” stockpiling balances to be built over the first 10 years of the 2021 DFS mine plan.
The update will also involve a targeted drilling program to convert inferred mineral resource estimates within the 2021 DFS pit design to the indicated category.
Toubani CEO Phil Russo said Kobada has the potential to be the next West African gold mine of a “significant” scale.
“The DFS update will pursue the potential for the project to be reoptimized to a throughput level that more aptly supports a bulk mining and lower overall technical risk approach, which is further strengthened when considering the significant existing resources of oxide, free digging material at Kobada,” he said.
“We believe Kobada has all the attributes to distinguish itself from its other West African development peers, being free milling ore, a large oxide resource with attractive fresh rock optionality, while also permitted.”
DFS updates will identify the optimal execution approach for the project, with engineers assessing the proposals in the coming weeks to have the update completed by the end of the year.
Toubani shares were up 12.9 per cent, trading at 17.5 cents at 2:59 pm AEST.
