Welcome to our roundup of some of the must-read investment, exploration, and development stories on Theassay.com over the last seven days. To keep up to date with all the latest headlines, subscribe to our weekly newsletter.
Financing news
One of the most significant financing stories of the week was Mako Gold Limited (ASX: MKG) welcoming the completion of the Sale and Purchase Agreement to exchange Perseus Mining Limited’s 39% interest in the Napié Gold Project in Côte d’Ivoire.
Prior to the Agreement, Mako was earning up to a 75% interest in Napié under a farm-in and joint venture (JV) agreement with Occidental. Under the original farm in agreement, post completion of a FS by Mako, the Napié ownership structure would have comprised 75% Mako, 15% Perseus and 10% AAIF.
The Transaction resolves the existing fragmented ownership structure of Napié and increases Mako’s ownership from 51% to 90%.
Exploration news
Plenty of exploration news over the last week, starting with KEFI Gold and Copper (AIM: KEFI) making recent significant progress at the company’s Tulu Kapi Gold Project in Ethiopia.
Following a thorough review of the Project on the back of updated supplier pricing, the company can confirm that Tulu Kapi’s estimated capital requirement (excluding the mining fleet provided by the contractor) has increased 7% to US$320M from US$300M to first production.
This is a direct result of cost inflation witnessed across the globe. The company has reported that several Project financing syndicate members, party to the Umbrella Agreement and associated documents have indicated a willingness to increase their investment, thereby ensuring that the Project will be funded under the previously reported financing structure.
St George Mining Limited (ASX: SGQ) commenced drilling at its Mt Alexander Project in Western Australia to test below numerous widespread pegmatite dykes, which are interpreted as highly prospective for lithium mineralization.
“This is an exciting milestone for St George as we commence the first-ever, lithium-focused drill programme at Mt Alexander. This initial phase of drilling will provide St George with an opportunity to potentially make a greenfields discovery within what is emerging as a significant lithium province,” executive chairman, John Prineas, said.
ION Energy Limited (TSXV: ION) has drilled two lithological diamond core holes at Urgakh Naran in Mongolia with a total depth of 702m and a third hole currently at 185m.
“Onsite advancements at Urgakh Naran continue to be highly encouraging. Being able to report on lithology, which is indicative of permeability, further validates the low resistivity zones identified by the TEM conducted this summer. We continue to advance the asset at breakneck speed.” said Ali Haji, CEO and director of ION Energy.
Drilling results
In drilling news, we heard that Eloro Resources Ltd. (TSXV: ELO) obtained positive assay results from two additional diamond drill holes from its on-going drilling programme at the Iska Iska silver-tin polymetallic project in the Potosi Department, southern Bolivia.
One drill hole, DSB-36, collared 400m southeast of the Santa Barbara adit, tested the extension of the core of the high-grade feeder zone at Santa Barbara while hole DSB-34, tested the potential southwest limits of the high-grade feeder zone.
To-date, the company has completed 79,258m in 118 drill holes to-date at Iska Iska, including four holes in progress.
“Results from hole DSB-36 continue to confirm that the high-grade feeder zone extends much further south-southeast across the valley of the Iska Iska caldera as interpreted from our geophysical surveys,” CEO, Tom Larsen, said.
Siren Gold Limited (ASX: SNG) also identified a 1km long NW trending Au anomaly at Mt Lyell North in New Zealand, 3km north of the Alpine United mine that historically produced 80Koz @ 17g/t Au.
Production news
Cerrado Gold Inc. (TSXV: CERT | OTCQX: CRDOF) has released production results for Q3 2022 from its Minera Don Nicolás (MDN) mine in Santa Cruz Province, Argentina.
During Q3 2022, operations at MDN continued under normalized operations for the fourth consecutive quarter demonstrating the significant improvements that have been achieved at site, the company said.
Quarterly production waned slightly, from 11,640oz AuEq in Q2 2022 to 11,284oz AuEq in Q3 2022. The company attributes this to lower throughput caused by wet feed due to poor winter season conditions.
The average gold grade mined improved from 3.44g/t in Q2 2022 to 4.40 g/t in Q3 2022, an improvement of 28%. Additionally, September production exceeded 4,000oz, with an average head grade of 5.15g/t.
Also in the news
American West Metals Limited (ASX: AW1) has appointed highly experienced resources executive Dan Lougher to join the Board of Directors from 9 November 2022, as a non-executive director initially, and then commence as non-executive chairman from 1 February 2023.
In a distinguished career spanning 40 years, Mr Lougher has established industry leading credentials for the development and operation of large-scale mining assets in the base and precious metals sector. He has successfully built multiple mines, managing all facets of project development from resource definition, feasibility studies, project financing, mine construction, and the negotiation of off-take contracts.
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