Join our daily newsletter At The Bell to receive exclusive market insights
- West African Resources (WAF) has tabled a 10-year mining plan and updated production and cost guidance for its Sandrado Gold operations
- The explorer expects to produce between 250,000 and 280,000 ounces of gold in 2021 out of its Burkina Faso tenements
- Successful drill efforts and the acquisition of the nearby Toega deposit have also fuelled the company’s resource base, clocking in at over five million ounces gold
- Looking ahead, WAF is looking to produce over 200,000 of gold per annum over the next 10 years
- West African Resources (WAF) is down 1.28 per cent following the announcement, trading at 77 cents
West African Resources (WAF) has tabled a 10-year mining plan and updated production and cost guidance for its Sandrado Gold operations.
The explorer’s announcement included revised production and cost guidance, updated resources, reserves and a 10-year mine plan for the company’s
Sanbrado Gold Operations in Burkina Faso.
West African projects Sanbrado to produce between 250,000 and 280,000 ounces of gold in 2021, with adjusted operating costs of US$530 (about A$693) to US$630 (roughly A$824) per ounce and all-in sustaining costs (AISC) of US$720 (about A$942) to US$ 800 (roughly A$1047) per ounce.
Adjusted costs are attributed to a higher market gold price and an increase in the government gold royalty bracket, which increased from four per cent to five per cent.
The explorer also managed an increase of two million ounces of gold in mineral resources, which it attributes to successful drilling campaigns and the acquisition of the nearby Toega deposit during 2020.
Measured mineral resources were also included for the first time, which sit at 1.9 million tonnes out of the total 81 million tonnes at 2.0 g/t for 5.1 million ounces gold resource.
Looking ahead, WAF anticipates its 10-year production outlook will average over 200,000 tonnes of gold per annum from 2021 to 2030. It also touts an exploration budget of US$12.5 million (approximately $16.3 million) for 2021.
West African Resources (WAF) is down 1.28 per cent following the announcement, trading at 77 cents at 12:27 pm AEDT.
