African Gold Group says metallurgical testwork confirms Kobada’s excellent potential as new mine in Mali

African Gold Group Inc (CVE:AGG) (OTCMKTS:AGGFF) (FRA:3A61) said its updated feasibility study (DFS) on the Kobada gold project in Mali is on track to be delivered in the third quarter this year and will show that the processing method for treating the oxide ore will also be suitable for the sulphides.

The final metallurgical testwork on the sulphides is now complete, the firm said and work continues on updating the resource estimates (MRE) for the project and the updated DFS, which will also include the drill assays of more than 7,000 metres (m) from the most recent program.

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“The finalization of our comprehensive sulphide metallurgical testwork program, culminating in the variability testwork, shows us that sulphides at the Kobada gold project can be treated through a gravity and CIL process,” said CEO Danny Callow in a statement.

“The process design on gravity and CIL for the oxides as presented in our July 2020 Definitive Feasibility Study is suitable for treating the sulphides as well, and this will allow us to add substantial resources to our overall resource base,” he added.

“The sulphides are free-milling, show excellent recoveries and consume low amounts of lime and cyanide, making this a very efficient operating cost process.”

Callow noted that the testwork program had been highly successful and confirmed Kobada’s ‘excellent potential’ as a future new mine in Mali.

Highlights from the metallurgical testing included gravity gold recovery values, which varied from between 40.40% and 73.18% with an 85th percentile of 61.52%, indicating that the sulphide ore at Kobada is amenable to gravity recovery.

In addition, cyanide consumption values varied from between 0.14 kilogram per ton (kg/t) to 0.46 kg/t with an 85th percentile of 0.34 kg/t, indicating low cyanide consumption of the sulphide ore.

The company noted that work on the updated DFS was continuing apace with progress, including an update of mine optimization, economic indicators, mine scheduling and waste dump designs based on the revised life of mine plan.

Also complete is the tailings storage facility design update to incorporate additional volume based on envisaged higher tonnages, addition of sulphides and potential for higher throughput and a full CAPEX and OPEX update.

African Gold Group is on track to become Africa’s next mid-tier gold producer, with the company targeting production of 100,000 gold ounces per year from Kobada by the second quarter of 2022.

Other exploration locations have also been identified on the Kobada, Farada and Kobada Est concessions, offering potential for an increase in resource.

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