AIM-listed Kodal Minerals, the mineral exploration and development company focused on its Bougouni lithium project, has acquired the Fatou gold project in southern Mali.
Fatou already has a historical compliant NI 43-101 resource of over 350 000 oz which is expected to increase based on a funded nine month drilling programme.
In conjunction with the acquisition, Kodal Minerals has received a subsidiary-level project funding proposal from AIM-quoted Riverfort Global Opportunities PLC and Riverfort Global Opportunities PCC to provide up to US$2,500 million to fund part of the acquisition, implement a major exploration campaign at Fatou and fund exploration at the company’s additional gold projects in Mali and Côte d’Ivoire.
Bernard Aylward, CEO of Kodal Minerals, commented, “This is an exciting opportunity for Kodal to acquire an advanced gold project that has immediate drill targets for testing and that complements our existing gold project portfolio in southern Mali and northern Côte d’Ivoire.
“This acquisition is part of Kodal’s strategy to demonstrate the value of our gold assets in West Africa whilst simultaneously establishing our first mining operation at our Bougouni lithium project in southern Mali.
“The funding from the investors would allow Kodal to explore rapidly our gold projects with a clear aim of defining mineral resources and demonstrating expansion and mining potential.”
The Fatou project consists of two concessions, the Fininko and Foutière concessions. The project forms a contiguous landholding exceeding 300 km2 and has been acquired through agreements with local vendors.
The project is complementary to Kodal’s existing activities in southern Mali being 100 km to the south of the town of Bougouni and only 30 km to the west of the Nangalasso Gold project.
Fatou is an advanced project with previous exploration defining preliminary mineral resource estimates and Kodal considers the project to have excellent exploration prospects that are drill ready and have potential to expand the defined zones of gold mineralisation.
Kodal expects to commence exploration immediately and its field team has already made reconnaissance visits to the project area to confirm areas of historical exploration, the location of artisanal mining and host rock of mineralisation, and to determine suitable access for exploration activities and a field camp.