Tietto Minerals Ltd (ASX:TIE) has released a further project update for its fully funded 3.35-million-ounce Abujar Gold Project in the Côte d’Ivoire, which is targeting first gold in the last quarter of 2022.
The company is in the process of developing a permanent camp, with construction gathering pace at the site and tracking well against schedule.
Construction progress
Progress has been made on the administration office, cafeteria building and the first 120 camp rooms.
A civil contractor has poured concrete for the carbon-in-leach (CIL) ring beams, and fabrication of structural steel and platework is underway, while tower stubs for a 34-kilometre-long, 90 kilovolt power line have arrived on site.
A semi-autogenous grinding mill remains on track for delivery to the site in the second quarter of the year.
The project remains lost-time-injury (LTI) free.
Managing director Dr Caigen Wang said: “I am very pleased to provide shareholders with our third project development update for Abujar. I would again like to thank and congratulate our build team and contractors for their commitment to safety, continuing to work LTI-free during January."
On schedule for first pour
"The build is tracking on schedule 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," Wang said.
“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 fourth quarter of 2022 and becomes West Africa’s next gold mine.”
Fully funded to production
The company completed a $85 million placement in January to complement its debt strategy, where it mandated Taurus Mining Finance Fund No.2 LP to deliver an underwritten project development facility of up to US$140 million of debt funding for the US$200 million project.
The company remains well positioned to advance a two-pronged strategy into 2022, which includes driving rapid resource growth at the project and fast-tracking mine development to achieve first gold.
Looking ahead
The company’s definitive feasibility study (DFS), released late last year, indicated robust financials and an estimated gold production of 260,000 ounces in the first year and 200,000 ounces per year over the first six years of the 11-year mine life.
The company is negotiating the final regulatory step, the Abujar Mining Convention, with the Ivorian government, having secured other mining and environmental approvals.