When economic times are uncertain, the saying goes, one can always count on gold as a safe-haven. With stocks tottering early Wednesday afternoon, one Toronto-based firm stepped to the fore and told its tale.
African Gold Group, Inc. (TSX-Venture:AGG) provided investors with a report updated mineral resource and reserve estimate and results of the definitive feasibility study for its Kobada Gold Project, located in southern Mali.
Highlights include an average annual production of 100,000 ounces of gold per annum for the first five years of operation. The report also points to total gold production of 728,654 ounces over 9.4 years life of mine, based on current reserves. Average total operating cash costs $704 U.S./oz for the life of mine.
According to CEO Danny Callow, “We have worked tirelessly, despite the impact of COVID-19, to deliver this study on time and 20% below budget. Our flagship Kobada Gold Project has been increased to a 100,000 oz per annum operation.
“We believe there is significant potential to improve the resources and reserves further with limited additional exploration.”
AGG towered over Tuesday’s close by 2.5 cents, or 8.1%, early Wednesday afternoon, to 33.5 cents, on volume of 502,000 shares.
