Senegal – The Sabodala technical report was prepared by Teranga and Roscoe Postle Associates and supports an increase in the mine’s proven and probable reserves to 2.7 Moz of gold – representing an increase of more than 400 000 oz over the previous mineral reserves estimate.
The majority of the new reserves come from the Niakafiri deposit, which is located less than 5 km from the Sabodala process plant.
The Sabodala mine plan has accordingly been re-sequenced to bring forward the development of the Niakafiri open pit deposits and defer underground development, improving Teranga’s five year production and cash flow profile.
“We’re pleased with the update to Sabodala’s life of mine plan,” states Richard Young, President and CEO of Teranga.
“We have extended our mine life to 14 years and improved our five year profile. Between 2018 and 2022, Sabodala’s gold production is expected to increase by 20% to more than 1 Moz and generate a total of $230 million in free cash flow, approximately two times the amount anticipated in the previous plan filed 18 months ago.”
“We will continue with our multi-year drilling programme intended to further define near surface resources and reserves on the prospective Niakafiri trend,” Young concludes.
Highlights of the Sabodala technical report
- Proven and probable mineral reserves 61.6 Mt @ 1.37 g/t containing 2.7 Moz gold
- Measured and indicated resources 86.6 Mt @ 1.59 g/t containing 4.4 Moz gold
- Inferred mineral resources 17.2 Mt @ 1.81 g/t containing 1.0 Moz gold
- First 5 years (2018 – 2022)
– Average annual production 213 000 oz
– Average mill grade 1.64 g/t
– Average all-in sustaining costs $885/oz
– Free cash flow $230 million
- 14-year mine life
– Average annual production 176 000 oz
– Average all-in sustaining costs $893/oz