Toubani Resources (ASX:TRE) has retained Endeavour Financial as its financial advisor for the project financing of the Kobada Gold Project following interest from potential financiers post the release of the 2024 Definitive Feasibility Study (DFS).
Toubani is advancing the financing work stream in parallel with the company’s ‘enhance, grow, and derisk strategy’ for Kobada “to surface the fundamental value demonstrated in the DFS” as the project moves towards shovel-ready status in 2025.
The company says this multi-pronged strategy ensures an active period ahead as Kobada is readied for development.
The upcoming works program in Mali will target extensions to the main Kobada deposit at depth, as well as additional oxide mineralisation in and around the Kobada deposit uncovered.
Any additional oxide resources delineated will serve as potential to supplement the base-case production profile shown in the recently completed Definitive Feasibility Study (DFS).
Toubani, which has a market capitalisation $45.79 million, says the upcoming program will also include geotechnical drilling to inform further pit design optimisation studies, alongside metallurgical testwork to refine processing parameters.
These activities are designed to enhance the DFS and advance Kobada towards the build phase.
As this news service previously reported, the DFS revealed Kobada as a “highly attractive” asset, with the potential for over US$1.2 billion ($1.84 billion) in direct economic benefits for Mali.
The mine is forecast to produce over 160,000 ounces of gold on average over a nine-year mine life.
The DFS also highlighted Kobada would have a post-tax net present value of US$635 million ($976.36 million) and an internal rate of return of 58% based on a gold price assumption of US$2,200 per ounce.
As a result of the study’s outcome, Toubani and the State of Mali have shared interest in the project’s development and are advancing discussions on the final investment agreements for the project.
Toubani says the discussions will set the framework for a long-term and mutually beneficial partnership between both parties.
Endeavour Financial is experienced in executing a range of project finance mandates on the African continent including Mali where members of the Endeavour team have acted as lenders or have advised on project financings for the Morila, Loulo, Syama, Tabakoto and Yanfolila developments.
Toubani Resources is a gold developer focused on advancing Africa’s next large gold development project with its oxide-dominant Kobada Gold Project.
Write to Aaliyah Rogan at Mining.com.au
Images: Toubani Resources
