Name of the Project
Kiaka gold project.

Location
About 45 km south of West African Resources’ (WAF’s) existing Sanbrado gold mine, in Burkina Faso.

Project Owner/s
WAF (90%) and the government of Burkina Faso (10%).

Project Description
A feasibility study concluded on the project in August 2022 has indicated that Kiaka will be a low-cost gold project, averaging 219 000 oz/y of gold production over an 18.5-year mine life from 2025.

The feasibility study is based on conventional openpit mining methods, with run-of-mine ore being directly fed to the crushing circuit. Mining operations will use a combination of 140 t and 230 t hydraulic excavators, complemented by 95 t dump trucks.

Kiaka’s free-milling gold ore will be processed through a conventional single-stage gyratory crushing and semiautogenous grinding (SAG) ball mill crusher milling circuit, followed by carbon-in-leach (CIL) processing.

The process plant will have a nameplate capacity of seven-million tonnes a year.

Potential Job Creation
None stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at a 5% discount rate, of $1.24-billion and an after-tax internal rate of return of 21.4%, with a 3.25-year payback on preproduction capital.

Capital Expenditure
$430-million.

WAF secured a $265-million syndicated corporate loan facility from Sprott Resource Lending Corp and Coris Bank International SA in June 2023, ensuring that the project is fully funded to production.

Planned Start/End Date
Preproduction mining is expected to start in 2025. The project remains on schedule to pour first gold in the third quarter of 2025.

Latest Developments
WAF has reported that maiden reverse-circulation grade-control drilling has returned thick zones of near-surface gold mineralisation, including 30 m at 4.1 g/t gold and 29 m at 2.6 g/t gold. Results confirm WAF’s geological model, with gold mineralisation 130 m to 185 m wide near surface. 

Drilling results also support the low strip ratio of 0.8:1 (waste to ore) of the Kiaka main – Stage 1 openpit, and significantly derisks the early production plan, with owner-mining on track to start in the first quarter of 2025. 

WAF further indicates that supply and logistics of the owner-mining fleet is progressing to plan, with some equipment ready to ship and first arrivals expected on site in late 2024. 

Kiaka construction is also progressing on time and on budget, with first gold production expected in the third quarter of 2025.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
WAF, tel +61 8 9481 7344 or email info@westafricanresources.com.