06 Apr Tietto Minerals passes PFS milestone at Côte d’Ivoire gold project
ASX-listed Tietto Minerals aims to produce 200,000 ounces of gold in the first year of production at its Abujar Gold Project in Côte d’Ivoire, following a successful pre-feasibility study (PFS).
The gold explorer today released a raft of figures for its flagship project, including maiden open pit probable reserves of 15.7 million tonnes run-of-mine gold ore at 1.7 g/t for 860,000 total ounces.
The PFS predicts a post‐tax net present value (NPV) of US$266 million and internal rate of return (IRR) at 42%, based on an average gold price of US$1,506 per ounce.
Tietto managing director Caigen Wang said investors could look forward to a healthy stream of news flow from the 3.02 million ounces gold project and pointed to upgrades on the base case.
“Delivery of this maiden JORC 2012 open pit ore reserve and supporting PFS is a milestone for Tietto and our shareholders, as it moves us closer towards realising our goal of developing West Africa’s next gold mine,” he said.
“The PFS metrics are compelling and clearly suggest that the development of Abujar will transform Tietto into a substantial West African gold producer.”
Tietto will look to expand the economic margins in the definitive feasibility study (DFS), with the potential to increase NPV to a post-tax total of $311 million at 43% IRR, using an average gold price of US$1,491/ounce, as well as boosting the mine life and the total gold production to 1.44 million ounces.
Wang said the DFS would optimise throughput, reduce waste stripping costs and update the resource model by late May 2021.