Tietto Minerals Ltd (ASX:TIE) remains on track with rapid construction of West Africa’s next gold mine and expects it will pour first gold at the Abujar Gold Project in Côte d’Ivoire by the end of the year.
The company continues to meet milestones, with key findings from its October 5, 2021, feasibility study indicating robust financial results and estimated gold production of 260,000 ounces in the first year and 200,000 ounces per year over the first six years of Abujar’s 11-year mine life.
The Ivorian government has ticked off on all mining and environmental approvals and Tietto is in the throes of negotiating a final regulatory step for the mine with the Abujar Mining Convention.
Tietto company remains well placed to advance a strategy of continued rapid resource growth at Abujar and to fast-track development of the facility to pour first gold by the end of the year.
Mine construction activities
The construction of the mine proceeds apace, with no lost-time injury (LTI) reported, bulk earthworks completed for the process plant and camp area, and concrete foundations have been laid for the facility.
Camp accommodation units under construction.
Construction of an administrative office, cafeteria and the first 120 camp rooms is underway, and shop drafting of structural steel and platework has kicked off.
Steel for the 34-kilometre-long, 90-kilovolt power line has arrived in the Abidjan port and is awaiting customs clearance.
The SAG mill remains on track for delivery to the site in the second quarter of 2022.
Borehole drilling.
Placement funding
These activities will be funded by the second tranche of a A$85 million share placement, which was approved by shareholders on January 7, with the shares issued on January 17.
This capital injection sits alongside Tietto’s debt strategy, with the Taurus Mining Finance Fund underwriting the project development with a facility of up to US$140 million of debt funding for the US$200 million project.
"I would like to thank and congratulate our build team and contractors for their commitment to safety, continuing to work LTI free during December,” Tietto managing director Dr Caigen Wang said.
“With completed settlement of the second tranche of our recent capital raise, we are now fully funded to production at Abujar, which has potential to be one of the largest gold producing mines in Côte d’Ivoire, expected to produce more than 260,000 ounces of gold in the first year and 1.2 million ounces of gold in the first six years.
“I look forward to providing further updates during the year as construction advances the Abujar Gold Project towards first gold by the end of the year and becomes West Africa’s next gold mine.”