Asante Gold (TSXV:ASE) has announced it has begun operations at its processing plant at the Bibiani gold mine, located in Ghana. The mine was acquired in 2021 from Australia’s Resolute Mining (ASX:RSG) and will now become a 24-hour operation once a trial period is completed. The company will conduct a 14-day evaluation period so it can control and calibrate all the operating systems and align any critical equipment “under full load”.
Production goals for the mine include 175,000 ounces of gold for the first 12 months, increasing to 220,000 ounces annually in the second year, and finally 200,000-255,000 ounces annually from the third year to the eighth year. The past-producing mine has a mining program in place, currently with material movement at six million tonnes per month and with the expectation of a first gold pour by the third quarter of 2022. Asante Gold continues to incorporate stakeholders in the project, with strong ties to the country. Ghanaian citizens have a significant shareholding of the company and have roles on the board and in executive positions.
President and Chief Executive of Asante Dave Anthony commented in a statement: “We are pleased that our refurbishment efforts at the Bibiani Gold mine have been delivered ahead of schedule.”
Thanks to a feasibility study conducted by Resolute Mining and released in 2018, Asante understands it has the potential to produce 100,000 ounces of gold annually with a ten-year mine life. The all-in sustaining cost for production would be $764 per ounce.
Ghana’s gold mining industry has seen a revival in recent years, with new projects such as the Obuasi mine coming online. The country is Africa’s largest gold producer.
This project is not just a positive step for Asante, but for all shareholders and stakeholders. The company has taken a collaborative approach to its work in Ghana, bringing local communities and Ghanaians from around the country into projects and involving them in the process for the best possible outcomes.