Sydney-based fund manager Paradice Investment Management has taken a substantial stake in Toubani Resources (ASX:TRE).
Paradice has acquired a 9.9% stake in the Mali-focused gold explorer after buying around 20.9 million shares for about $3.6 million over the course of June.
The fund manager, established by David Paradice in 1999, manages over $14.5 billion worth of investment capital for a range of investors — including institutional, private wealth, family offices and individual investors — across six different funds.
The Paradice Australian Small Cap Strategy was the firm’s first investment offering in 2000. Since then it has expanded to include the Australian Mid Cap Strategy in 2006, the Australian Equities Strategy in 2007, the Global Small Cap Strategy in 2010, the Equity Alpha Plus Strategy in 2019, and more recently the Australian Small Cap Opportunities Strategy in 2023.
In July, small cap investment firm Nero Resource Fund raised its stake in Toubani to 14.7% after acquiring a further 9.8 million shares on market.
Toubani is working on an updated Definitive Feasibility Study (DFS) for the 2.2-million-ounce Kobada Gold Project in West Africa.
The company recently raised $10 million to fast track the project and complete the updated DFS.
A 2021 DFS targeted an operation producing around 100,000 ounces per annum, at a mining rate of 24 million tonnes per annum (Mtpa) and processing rate of 3Mtpa.
The update, however, will focus on a bulk mining approach feeding an initial oxide plant, with the fresh material to come later in the mine plan.
CEO Phil Russo told Mining.com.au in late July that the Kobada Project was on the cusp of joining another tier of development assets with the continued rally in the gold price. At the time, the price of the safehaven metal was sitting at just under US$2,400 ($3,544) an ounce, but has since hit an all-time record of over US$2,500 an ounce.
Write to Angela East at Mining.com.au
Images: Toubani Resources
