Toubani Resources (ASX:TRE) has commenced a 5,000m diamond core drilling program at its Kobada Gold Project in southern Mali. The program aims to expand the project’s resource inventory, currently at 2.2 million ounces of gold, and extend its mine life. CEO Phil Russo highlighted the potential to grow the resource base by testing deeper extensions of mineralisation, which haven’t been previously targeted. Geotechnical and hydrological data from the drillholes will further optimise mine design, with specific holes prioritized for slope stability testing and final pit design input.
Following the diamond core drilling, a reverse circulation drill program is planned to test near-surface targets, aiming to further build the oxide inventory. This supports Toubani’s dual-track strategy for growth at Kobada, as the company progresses towards a final investment decision in 2025. A Definitive Feasibility Study (DFS) completed in October 2024 projects an average gold production of over 160,000 ounces annually over a nine-year mine life. The DFS also positions Kobada as a low capital intensity development project, with an initial upfront capital of US$216 million. The project boasts a post-tax net present value (NPV) of US$635 million and an internal rate of return (IRR) of 58%, based on a gold price assumption of US$2,200 per ounce. Toubani Resources focuses on developing West Africa’s next gold mine through the Kobada Gold Project, located in Mali, the third-largest gold producer in Africa.
