Name of the Project
Kobada gold project.

Location
Southern Mali.

Project Owner/s
Africa-focused gold developer Toubani Resources and 35% shareholder Eagle Eye Assets (EEA).

Project Description
A definitive feasibility study (DFS) completed in October 2024 has confirmed Kobada as a significant gold development asset underpinned by its large-scale, free-dig and open-pittable oxide resource.

The ore reserve estimate is 53.8-million tonnes at 0.90 g/t for 1.56-million ounces of gold.

The DFS proposes average production of 162 000 oz/y over the current 9.2-year life-of-mine for total gold production of 1.49-million ounces of gold.

Potential Job Creation
Toubani reported in July 2026 that more than 500 personnel were on site.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $870-million and an internal rate of return of 72%, with a payback of 1.25 years.

Capital Expenditure
The October 2024 DFS estimates total initial development capital of $216-million.

Planned Start/End Date
First gold production is targeted for the third quarter of 2027. 

Latest Developments
Toubani Resources has secured and finalised a $208-million (A$302-million) binding funding package comprising a $160-million (A$232-million) gold stream and a $48-million (A$70-million) equity financing to complete the construction of the Kobada mine.  

A term sheet for a senior secured facility of up to $40-million (A$58-million) is being progressed by the company, among other financing alternatives, to provide additional balance sheet strength and flexibility.

Toubani has executed definitive binding documentation with EEA for the gold stream, consistent with previously announced terms.

This further strengthens Toubani’s strategic relationship with its major shareholder EEA, whose dual commitment across equity and stream financing ensures alignment with all equity holders.

First drawdown of the gold stream is expected in the third quarter of this year.

Also, Toubani has executed documentation with respect to a fully underwritten A$70-million strategic equity financing through an accelerated nonrenounceable entitlement offer structure.

EEA has committed to maintain its pro-rata ownership interest in the company.

The binding funding package provides Toubani with an ability to fund its project subsidiaries, including recoverable value-added tax payments now due during the construction phase, and supports the company’s strategy to pursue resource growth in parallel with construction, specifically targeting near-surface, oxide mineralisation to extend Kobada’s life.

Importantly, the final funding mix establishes a prudent balance sheet to insulate the company from any unforeseen events before first production.

Strong momentum this year has resulted in Kobada’s capital costs being now more than 60% committed, to date, with total capital costs and the associated project schedule now significantly derisked and in line with plan.

“The additional senior secured facility further strengthens the company’s financial position and enhances our ability to achieve this milestone,” says Toubani MD Phil Russo.

Key Contracts, Suppliers and Consultants
Ausenco (engineering, procurement, and construction management contractor); Minxcon Group South Africa (mineral resource estimate); DRA Americas (mining and mineral reserves); Maelgwyn Mineral Services (metallurgical testwork); ABS-Africa (environmental and social studies); Epoch Resources (tailings storage facility); SENET (processing plant and infrastructure, including economic valuation and report compilation); Knight Piésold (DFS – tailings dam design and costing); Global Commodity Solutions (DFS – geology and exploration); Entech (DFS – mineral resources); Oreology (DFS – pit optimisations, mine design and mine scheduling); Minero Consulting (DFS – mining operating and capital cost estimation, and ore reserves); Lycopodium (DFS – metallurgical testwork review, process plant design, process plant operating and capital cost estimation); ABS Africa (DFS – environmental and social impact); Anandarasa Advisory (DFS – financial modelling); and Cantilever Future Solutions (DFS – study management and environmental, social and governance oversight); and Endeavour Financial (financial adviser).

Contact Details for Project Information
Toubani Resources, email info@africangoldgroup.com.