West African Resources receives mining permit approval

Unhedged gold mining company West African Resources Limited (WAF) has provided the following update on the status of the Toega mining permit application and Sanbrado mining permit renewal.

Toega mining permit application approved

On 20 March 2024, the Burkina Faso Council of Ministers recommended approval of the draft decree for the issue of a mining permit for the Toega gold deposit. Consistent with the Mining Code of Burkina Faso, the licence will be issued to a Burkina Faso company 90% owned by WAF and 10% owned by the State of Burkina Faso. The licence will cover an initial period of 8 years.

This is the last significant operating permit required for commencement of mining of the Toega opencast gold deposit, which follows from Toega’s Environmental Permit issued in 2023 after the government’s review and acceptance of the ESIA and RAP.

The Toega gold deposit, which has gold resources of 1 268 000 oz and gold reserves of 569 000 oz, is scheduled to provide 8 years of ore feed to the company’s Sanbrado process plant via a 14 km haul road commencing in 2025.

Sanbrado mining permit renewal approved

Also on 20 March 2024, the Burkina Faso Council of Ministers recommended approval of the draft decree for the renewal of the Sanbrado mining permit for a further 5 years.

The Sanbrado gold project is expected to produce 190 000 – 210 000 oz of gold in 2024 at an AISC less than US$1300/oz. Sanbrado is expected to average more than 210 000 oz of gold production per annum over the next decade increasing to more than 230 000 ounces per annum when the Toega opencast mine and projected M5 South underground come online from 2026.

West African Executive Chairman and CEO Richard Hyde commented: “WAF continues to demonstrate its ability to operate effectively and sustainably in Burkina Faso and deliver on its business strategy. Mining at Toega will provide 8 years of ore feed for Sanbrado and bring taxes, jobs, and other economic benefits to Burkina Faso and the communities surrounding Sanbrado and Toega.

“We look forward to bringing the Toega open pit deposit online after we commence gold production at our 7.9 million oz Kiaka gold project.

“With the Toega mining permit in place, and the development of the Kiaka gold project tracking on schedule and on budget, we are steadily progressing our strategy of doubling WAF’s annual gold production to over 400 000 oz per year by 2025.”

Read the article online at: https://www.globalminingreview.com/exploration-development/27032024/west-african-resources-receives-mining-permit-approval/