Hummingbird Resources provides Kouroussa Gold Mine update

Kouroussa development update

Mobilisation of equipment and personnel has begun to enable construction to commence in early January 2022 by the projects’ construction and engineering firm WACOM, in line with the project schedule and targeted first gold pour by the end of 2Q23.

Key highlights include

• Essential construction equipment and personnel have begun to arrive on site to enable construction to officially commence in early January 2022 and delivery of first gold pour by the end of 2Q23, along with the ordering of long-lead items.
• Detailed engineering on structural, mechanical, and electrical requirements has commenced.
• Tenders for other key contracts are at advanced and final stages: mining; power; fuel supply and other key related infrastructure.
• The finalisation of the project’s carbon emission reduction strategies, along with awarding of the power contract, which is expected to include a significant solar component and other technologies aimed at reducing emissions significantly.
• Initial advance of approximately US$40 million from Coris Bank International as part of US$100 million funding package, to enable construction to commence.

Kouroussa drilling highlights

Hummingbird has received the second assay batch of results on 40 reverse circulation (RC) and seven diamond holes on the high-grade KoeKoe (KK) deposit, delivering approximately 4562 m out of the company's 24 000 m infill drilling programme for 2021.

• Notable drill results from the KK deposit include:
  • KRCD1729A: 55 m at 35.72 g/t from 77 m, including an interval zone of 20.75 m at 91.98 g/t.
  • KRCD1880: 5.9 m at 12.72 g/t from 94 m.
  • KRCD1884: 10.2 m at 5.68 g/t from 34 m.
  • KRC1821: 9.8 m at 5.82 g/t from 3 m.
  • KRC1866: 49 m at 5.5 g/t from 70 m.
  • KRCD1878: 10 m at 4.76 g/t from 140 m.
  • KRCD1880: 6 m at 4.91 g/t from 29 m.
• Drill hole KRCD1729A, a metallurgical hole drilled to collect sample material for metallurgical test work, intersected a significant high-grade mineralisation interval of 55 m at 35.72 g/t (from 77 m), including an internal zone of 20.75 m at 91.98 g/t.
  • The hole exceeded expectations in terms of grade and confirms the interpretation of the current mineral resources estimate (MRE) and potential for further resource growth.
• The above results continue to demonstrate the high-grade nature of the KK deposit at relatively shallow depths. The 24 000 m 2021 Kouroussa infill drilling programme is nearing completion, with less than 1500 m drilling to be completed in December. This year’s drilling programme will feed into the company's updated 2022 resources and reserves statements scheduled for release in 2Q22.
• Lastly, the company notes further assays have been recently received from the 2021 Kouroussa infill drilling campaign and will be reported once fully reviewed in the new year.

Dan Betts, CEO of Hummingbird Resources, commented: “The mobilisation of equipment and personnel at Kouroussa marks another important step towards the company’s strategic goal of being a multi asset producer. A material amount of work has been done, assembling the team and infrastructure, so that construction can commence, and that CAPEX budgets and timelines are delivered.

“Further, the ongoing exceptional drilling results being received at Kouroussa highlight we have an asset of significant value, with a material amount of exploration potential ahead of us.”

Noris Del Bel Belluz, Group Technical Services Manager of Hummingbird Resources, added: “The assays results received so far from the inferred to indicated drilling campaign, and the historical drilling results pre-2021, clearly demonstrate that the Koekoe deposit – and Kouroussa in general – host impressive gold grades. We are now finalising plans for our 2022 Kouroussa exploration drilling campaign to build upon the success being seen in 2021. We expect to continue to see the upgrading of the quality of the reserves/resources to further extend the current mine life at Kouroussa.”

Kouroussa Gold Mine highlights

Kouroussa is forecast to be a high-grade, low-cost mine that will produce between 120 000 – 140 000 oz for the first three years of production, and an average 100 000 oz over the initial seven-year life of mine (LOM), with upside potential with further exploration. The project has industry-leading economics at a gold price of US$1750/oz, including:

• IRR 71%.
• NPV US$210 million.
• Cumulative free cash of US$314 million.
• AISC in the range of US$900 – US$1000/oz throughout the LOM.
• Project CAPEX total estimate of US$115 million.

With the mobilisation of equipment and personnel on site, the company remains on track for first gold pour by the end of 2Q23.

Read the article online at: https://www.globalminingreview.com/exploration-development/16122021/hummingbird-resources-provides-kouroussa-gold-mine-update/