WEST African Resources, the Sydney-listed gold producer, said this week it had received permit approvals that would secure the continued operation of its Sanbrado gold mine in Burkina Faso.
The West African government issued an initial eight year mining permit for the Toega gold deposit which will supply ore to Sanbrado.
The Toega gold deposit has gold resources of 1.27 million oz and 569,000 oz in gold reserves. It is the last significant operating permit required for commencement of mining of the Toega open pit gold deposit, the company said.
“Mining at Toega will provide eight years of ore feed for Sanbrado and bring taxes, jobs and other economic benefits to Burkina Faso and the communities surrounding Sanbrado and Toega,” said Richard Hyde, executive chairman and CEO of West African Resources.
In addition, Sanbrado was granted a renewal of its mining permit for another five years.
Sanbrado is expected to produce 190,000 to 210,000 ounces of gold in 2024 this year, and an estimated 210,000 oz/year over the next 10 years. This will increase to 230,000 oz/year once the Toega open pit as well as an underground extension at Sanbrado, known as the M5 project, come online from 2026.
West African Resources is also developing the 219,000 oz/year Kiaka gold project in Burkina Faso at a capital cost of $430m. Once developed, the company will have gold output of about 400,000 oz/year.
