JOHANNESBURG (miningweekly.com) – Hummingbird Resources has acquired an additional 5% interest and a 1% royalty in the Yanfolila gold project, in Mali, raising its stake to 80%.
The Aim-listed company agreed to take up its option to acquire La Petite Mine d’Or’s 5% interest in the project for $2-million in shares, which will be settled on March 31, 2018.
Hummingbird CEO Dan Betts noted that finalising the acquisition was another “exciting step forward” as the company closes in on its first gold pour from Yanfolila.
“Additionally, by reducing the royalties over the project we have increased the benefit to Hummingbird, as we firmly believe the mine life will increase significantly as we convert further resources into reserves once we are in production.
“We continue to make excellent progress on site and as a result we continue to advance Yanfolila to production both on time and on budget,” he said.
Yanfolila is expected to produce about 132 000 oz of gold in its first year of full production.