Aurum Resources Ltd (ASX:AUE) made significant progress toward developing its flagship Boundiali Gold Project during the June 2026 quarter, delivering a pre-feasibility study (PFS), maiden Ore Reserve and environmental approvals while continuing an extensive drilling campaign in Côte d’Ivoire.
The quarter established Boundiali as a technically robust, large-scale open-pit gold development opportunity, with the company’s board endorsing an immediate move into a definitive feasibility study (DFS).
Aurum ended the period with A$54.6 million in cash, providing a strong funding position as it targets a final investment decision in late 2026 and first gold production in the first half of 2028.
Boundiali PFS outlines compelling economics
The Boundiali PFS evaluated a 6 million-tonne-per-annum operation producing around 1.52 million ounces of gold over an 11-year mine life.
At the consensus gold price assumption of US$4,076 per ounce, the project generated estimated post-tax free cash flow of US$2 billion, post-tax net present value of US$1.5 billion and a post-tax internal rate of return of 119%.
Payback is expected in less than one year from first production, while pre-production capital has been estimated at US$342 million, including a US$34.2 million contingency.
Life-of-mine all-in sustaining costs are forecast at US$1,951 per ounce.
The production schedule is weighted toward the early years, with approximately 923,000 ounces expected during the first five years at an average rate of 185,000 ounces annually. Year-one production is forecast at around 201,000 ounces.
Maiden Ore Reserve supports development case
Aurum also declared a maiden Probable Ore Reserve of 42.1 million tonnes at 0.9 g/t gold for 1.21 million ounces.
The reserve is drawn from the BDT1, BDT2, BMT3 and BST deposits and represents an approximate 77% conversion of Indicated Mineral Resources.
The estimate was prepared using a conservative gold price of US$2,900 per ounce, compared with the higher consensus price used for the broader life-of-mine financial analysis.
Boundiali’s total Mineral Resource was also increased during the quarter to 3.22 million ounces, including a 24% increase in Indicated Resources to 1.70 million ounces.
Combined with the 1.16-million-ounce Napié Gold Project, Aurum now controls group resources of 4.38 million ounces.
High-grade drilling continues at BDT2
Aurum continued its owner-operated diamond drilling program at Boundiali, where it is targeting approximately 100,000 metres annually.
Results from the BDT2 deposit included a standout intercept of 6.54 metres at 13.36 g/t gold from 272 metres, including 3.70 metres at 23.32 g/t and 1.7 metres at 70.35 g/t.
Other results included:
- 40.60 metres at 1.06 g/t gold from 299.40 metres, including 6 metres at 2.77 g/t;
- 26 metres at 1.48 g/t from 175 metres, including 4 metres at 3.82 g/t;
- 23 metres at 1.32 g/t from 376 metres, including 3 metres at 5.33 g/t; and
- 21 metres at 1.12 g/t from 228 metres, including 1 metre at 14.99 g/t.
The high-grade intercept from drill hole DSDD0445 sits outside the current Boundiali resource model, highlighting the potential for further growth.
Mineralisation at BDT2 remains open along strike and at depth within an underexplored corridor extending for around 13 kilometres by 3 kilometres.
Aurum is concentrating ongoing drilling on converting Inferred Resources to the Indicated category at BDT2, BMT1 and BST1. A major resource update is planned to support the DFS mine plan and updated Ore Reserve.
Environmental approvals reduce permitting risk
The Côte d’Ivoire Ministry of Environment and Ecological Transition issued three environmental approval certificates covering the areas underlying Aurum’s mining licence applications at Boundiali.
The approvals followed a 12-month environmental and social impact assessment covering more than 572 square kilometres.
Environmental approval is a mandatory prerequisite for a mining licence in Côte d’Ivoire, making the certificates an important step in reducing development and permitting risk.
Mining licence applications have been submitted for the three relevant tenements and are progressing in parallel with the DFS.
DFS and early procurement underway
Aurum has begun DFS-level workstreams, early contractor engagement and procurement planning under an owner-builder development model.
The company said long-lead procurement had already commenced, with some equipment carrying delivery times of up to 50 weeks. Early purchasing is intended to protect the targeted first-gold date in the first half of 2028.
Aurum strengthened its development team during the quarter through the appointment of Richard Edginton as general manager mining, Luke Stacey as project director and Ting Xu as chief financial officer.
The company is targeting completion of the DFS and a final investment decision in late 2026.
Strong cash position supports work program
Aurum spent A$7.52 million on exploration and evaluation during the quarter, primarily on drilling at Boundiali.
The company finished June with A$54.6 million in cash and no debt facilities drawn, representing an estimated 6.4 quarters of funding based on current expenditure levels.
Managing director Dr Caigen Wang also invested A$840,000 in the company through the purchase of 1.4 million shares at A$0.60 each, increasing his holding to 4%.