Asante Gold Corporation, today Wednesday, announced the filing of a technical report in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects in connection with the Preliminary Economic Assessment on Asante’s Kubi Gold Project located in the Ashanti region of Ghana.
Asante’s Technical Report demonstrates the economic viability of underground mining of the Kubi Main mineral deposit as defined in a prior technical report prepared by SEMS Exploration Services Ltd in December, 2014.
The Technical Report also includes a proposal for early underground development to allow for further exploration drilling from underground platforms.
Dave Anthony, President and CEO, stated: “We are pleased to submit this Technical Report which demonstrates significant potential for Kubi to be a standalone project. We believe the early underground development to support further exploration activities will upgrade and expand the resources even further. Asante thanks the Kubi technical team and principal consultants dMb Management Services Pty Ltd and BARA Consulting Pty Ltd for delivering the Technical Report.”
Kubi comprises a Mining Lease that was granted in 2008 (the “Kubi Mining Lease”). The Kubi Mining Lease has been confirmed by the Minerals Commission of Ghana and is in good standing. The mineralization occurs along a part of a prominent regional structure. Specifically, the Kubi Main mineral deposit is situated at the intersection of the main NE-SW trending Birimian-Tarkwaian contact and a major N-S trending basement fault. The nature of the mineralization style and setting are well understood and can support a declared Mineral Resource and further exploration potential.
The Company plans on commencing an underground study at its Bibiani Gold mine in the fourth quarter of 2022 and Asante intends to leverage on synergies between Bibiani underground and Kubi. At the present time it is planned to process the mineralized material at the Bibiani Process Plant.
The discounted cash flow model for the proposed operation demonstrates that Kubi is robust under the current techno-economic assumptions described in the Technical Report.
The Mining Company added that on August 24, 2022, the Company signed an amendment letter agreement with Resolute Mining Limited (“Resolute”) providing for a 90 day extension of time for the final tranche deferred payment of US$30 million (plus US$2.7 million in respect of an environmental bond) in connection with the acquisition of Mensin Gold Bibiani Limited, which subsidiary company owns a 90% interest in the Bibiani Gold Mine.
The revised payment terms provide for payment of US$10 million on or before September 19, 2022, US$10 million on or before October 19, 2022 and US$12.7 million and interest payable on or before November 18, 2022. The revised payment terms also include payment by Asante of interest on outstanding amounts at commercial rates.
About Asante Gold Corporation
Asante is a gold exploration, development and operating company with a high-quality portfolio of projects and mines in Ghana. Asante is currently operating the Bibiani Gold Mine with forecast production of 175,000 oz of gold over the next 12 months. It has completed the acquisition of the Chirano Gold Mine, an operating open-pit and underground mining operation located immediately south of the Bibiani Gold Mine currently operating and with planned production of 160,000 ounces in 2022. It continues with detailed technical studies at its Kubi Gold Project.
All mines and projects are located on the prolific Bibiani and Ashanti Gold Belts. Asante has an experienced and skilled team of mine finders, builders and operators, with extensive experience in Ghana. Asante is listed on the Canadian Securities Exchange, the Ghana Stock Exchange and the Frankfurt Stock Exchange. Asante is also exploring its Keyhole, Fahiakoba and Betenase projects for new discoveries, all adjoining or along strike of major gold mines near the centre of Ghana’s Golden Triangle.
