Kobada Gold Project
Mali, West Africa
Kobada Ticks All of the Boxes
Initial Development Capex of US$216m
Average Gold Production of 162koz
Low AISC of US$1,175/oz
Average Annual Operating Cash Flow of US$134m
Pre-tax & Post-tax NPV of US$713m & US$500m
Pre-tax & Post-tax IRR of 63% and 50%
Post-tax Payback of 1.75 years
Kobada DFS
2.2Moz in Mineral Resource
The Kobada Main Deposit is a large, shallow and well-drilled open pittable Mineral Resource. Toubani Resources is primarily focused on this deposit at present while simultaneously exploring and testing the adjacent strikes.
A large, continuous 4.5km long open pit hosting global Mineral Resources of 2.2Moz
Kobada remains open along strike in both directions and at depth
Oxide depth averages 65m and can extend beyond 120m in some areas of the pit, well beyond other oxide deposits in West Africa
Low stripping ratio with mineralisation from surface
Kobada Main Deposit is part of a much larger system being explored by Toubani, and includes Kobada East, Kobada North 1 and 2, and Kobada West. Toubani’s 2023 drill program has successfully extended strike extent from 5km to 11km at Kobada and defined new areas of gold mineralisation outside the current mineral resource estimate, with more than 40km of strike are yet to be drill tested.
Kobada Main Deposit
Significant Intercepts Run the Entire Strike Length
Initial discovery drilling intersected shallow, high-grade oxide mineralisation
Excellent drill results in each phase of drilling along entire strike length of Kobada Main Deposit
Over 160,000m have since been drilled to an average depth of ~110m
A combination of RC and DD drilling
Kobada is a Simple, Conventional Oxide Process Flow Sheet
Free-milling with high recoveries of 96% in oxide material
Overview of Kobada Gold Project DFS Outcomes
Technically simple project translates to compelling economic outcomes
Free-dig oxide material, no drill and blast, low strip ratio
Near surface, bulk open pit mining operation at high production rates
Sector leading capex intensity drives rapid payback, with strong returns on invested capital
Soft rock and simple oxide flowsheet underpins low-cost profile
Compelling economic returns with significant leverage to rising gold prices
| Kobada Gold Project Outcomes | Unit | Gold Price Scenario | |
|---|---|---|---|
| Production Metrics | US$2,200/oz | US$3,000/oz | |
| Initial Mine Life | Yrs | 9.2 | |
| Open Pit Ore Mined | Mt | 53.8 | |
| Grade2 | g/t gold | 0.9 | |
| Contained Gold | Moz gold | 1.56 | |
| Strip Ratio | w : o | 3 | |
| Total Material Mined | Mt | 216.2 | |
| Total Material Processed | Mt | 53.8 | |
| Process Recovery (LOM Average) | % | 96 | |
| Total Production (LOM) | Moz gold | 1.49 | |
| Annual Production (LOM Average) | Koz gold | 162 | |
| Financial Metrics | US$2,200/oz | US$3,000/oz | |
| Gross Revenue | US$M | 3,284 | 4,478 |
| Total Initial Development Capital | US$M | 216 | 216 |
| Growth Capital (Fresh Rock Process) | US$M | 70 | 70 |
| Total Sustaining Capital | US$M | 53 | 53 |
| Total Operating Costs | US$M | 1,701 | 1,914 |
| Pre-Tax Cash Flow (Project Level) | US$M | 1,244 | 2,226 |
| Pre-Tax NPV8% | US$M | 713 | 1,331 |
| Pre-Tax IRR | % | 63% | 99% |
| Pre-Tax Payback | Yrs | 1.5 | 1 |
| Post-Tax Cash Flow (Project Level) | US$M | 893 | 1,607 |
| Post-Tax NPV8% | US$M | 500 | 951 |
| Post-Tax IRR | % | 50% | 79% |
| Post-Tax Payback | Yrs | 1.75 | 1.25 |
| Non-IFRS Metrics | |||
| C1 Cash Costs | US$/oz | 831 | 831 |
| AISC | US$/oz | 1,175 | 1,317 |
Enhance – Grow – Derisk
With the completion of the Definitive Feasibility Study in October 2024, the Kobada Gold Project is now firmly on the development path. The Company is pursuing an " Enhance - Grow - Derisk " strategy to surface further value in Kobada as it moves towards shovel-ready status.
Enhance Kobada
- Additional drill data from deeper drilling may increase fresh rock resources and result in an expansion of later pit stages
- Geotechnical studies to inform/refine pit wall design to further minimise strip ratio and reduce mining costs
- Optimise scheduling to meet processing schedule refinements (i.e. higher throughput, oxide/fresh blend)
- Confirmatory testwork to further validate rheology and hardness assumptions with potential for a less capital-intensive leaching circuit (i.e. smaller tanks)
- Identify areas of non-process related infrastructure where Toubani could self perform to reduce costs and improve timelines
- Current 19 months schedule to first gold pour is in line, or more conservative, versus recent successful mine builds in West Africa
Grow Kobada
Kobada oxide targets
Targeting significant free milling, fresh rock optionality at depth
Derisk Kobada
Key workstreams progressing or well advanced
- Kobada Gold Project firmly on the development pathway after agreement with the State of Mali on the 2023 mining code
- Toubani and the State of Mali equity interests are in line with the 2023 mining code for all new development projects in Mali
- Toubani will receive a 2.0% reduction in the applicable royalty rate for the Kobada Gold Project for the duration of its mining license
- Corporate tax rate of 25% applicable for the first five years of operation and 30% thereafter
- Mining licenses under the 2023 mining code are valid for an initial 12 years with subsequent 10-year renewal periods
- Parties will continue toward the final execution of implementation documentation for the Kobada Gold Project
- Kobada has an Environmental and Social Impact Assessment (ESIA) permit approved in 2021 (for oxide phase)
- ESIA update and Resettlement Action Plan (RAP) underway based on the 2024 DFS
- Highly experienced African debt advisor, Endeavour Financial appointed to lead project financing workstream
New Discoveries in Established Gold District
Walk-up targets successfully extended near-surface oxide mineralisation
Kobada is a large gold system in a prolific gold district with numerous near-surface targets and over 153,000m of drilling thus far that has been primarily focused on the Kobada Main shear deposit.
The 2023 drill program has successfully extended strike extent from 5km to 11km at Kobada and defined new areas of gold mineralisation outside the current mineral resource estimate. There still remains over 44km of strike remaining to be drill tested.
All targets tested (see below) intersected new areas of oxide mineralisation and extended overall strike extent at Kobada for follow up in subsequent programs. The target results received to date are the same tenor of gold mineralisation seen across the project.
Kobada West - Target 5
Previously untested target unlocks newly identified structure
Toubani’s first ever drill holes at Kobada West delineated continuous, near-surface oxide gold mineralisation with consistent grades and thicknesses section-to-section. Kobada West is interpreted to lie on a parallel structure less than 1km west of the Kobada Main deposit
The 2023 drilling program has identified shallow, oxide mineralisation on every section over the current strike length of 600m, and remains open along strike and at depth.
Significant intersections include:
- 9m at 1.72g/t incl. 2m at 6.26g/t
- 1m at 11.3g/t and 5m at 1.26g/t
- 5m at 1.24g/t and 3m at 0.93g/t
- 11m at 0.55g/t, 2m at 2.66g/t and 3m at 1.12g/t
Kobada North 1 and 2 - Targets 3 and 4
Significant Intercepts Run the Entire Strike Length
Kobada North 1 and 2 targets lie directly on the Kobada Shear and cover 2.3km of strike north from the Kobada Main deposit. There has been limited drill testing at Kobada North 1 and no previous drill testing at Kobada North 2. Both targets show extensive artisanal workings, and initial results released in March and April 2023 extended strike at Kobada North by over 2km
Key intercepts include:
- 9m at 1.32 g/t and 14m at 1.02 g/t (KN1)
- 1m at 7.86 g/t (KN1)
- 1m at 8.51 g/t (KN2)
- 1m at 0.64 g/t (KN2)
Gosso - Target 1
Underexplored and highly prospective
The Gosso Target runs parallel shear to the Kobada Shear Zone and shares similar characteristics. Gosso was first drilled with RC in 2011, but there was no follow up until 2020.
Intersections included:
- 36m at 1.64 g/t from 72m (KBRC11_140)
- 3.1m at 4.25 g/t from 34.6m (G20_PH3A_20)
- 3m at 2.59 g/t from 30m (KBRC11_144)
- 5m at 1.90 g/t from 133m (KBRC11_142)
- 12.5m at 1.15g/t from 39.0m (G20_PH3C_16)
April 2023 drilling extended strike 500m with intersections including:
- 1m at 5.78g/t from 134m
- 9m at 0.42g/t from 8m
- 2m at 1.44g/t from 49m and 1m at 3.16g/t from 80m
- 3m at 1.34g/t from 32m and 2m at 0.98g/t from 25m
- 1m at 1.81g/t from 110m
- 7m at 0.67g/t from 15m, including:
- 3m at 1.17g/t from 19m, and 2m at 1.15g/t from 45m
Kobada East - Target 2
Significant auger anomaly now confirmed by maiden RC drilling
The Kobada East discovery was made in 2022 by auger sampling and has been confirmed by the maiden RC drilling program that identified shallow, oxide mineralisation below the auger anomaly over a strike length of 400m. The Kobada East Shear extends for over 18km on Toubani’s tenure.
Significant intersections include:
- 6m at 0.85g/t incl. 2m at 1.70g/t (KE22_P013)
- 1m at 3.58g/t (KE22_P007)
- 1m at 3.35g/t (KE22_P008)
The results at Kobada East are typical of the mineralisation style seen across Kobada with the intersections mirroring those observed at the Kobada Main deposit, with mineralisation open along strike to the north and south, as well as at depth.
Best results from 2022 auger program:
- 20.69 g/t over 8m from 2m (E-423)
- Including 78.9 g/t over 2m
- Including 3.14 g/t over 2m
- 1.81 g/t over 8m from 10m (E-412)
- Including 3.94 g/t over 2m
- 2.42 g/t over 2m from surface (E-417)
Resources & Reserves
MINERAL RESOURCE ESTIMATE
Notes:
- Tonnages are dry metric tonnes.
- Minor discrepancies may occur due to rounding.
- Oxide resources quoted above 0.25g/t.
- Fresh rock resources quoted above 0.30g/t
ORE RESERVE ESTIMATE
Notes:
- Oxide reserves quoted above 0.29g/t.
- Fresh rock reserves quoted above 0.37g/t.
- Tonnages are dry metric tonnes.
- Minor discrepancies may occur due to rounding.
- The Ore Reserve classification follows JORC Code (2012) guidelines, with all ore in the Probable category.
- These Reserves are derived from Indicated Mineral Resources.
- Ore Reserves have been optimised at a US$1,650/oz gold price.
- The Ore Reserves above, with a defined cut-off, is delivered to the site processing plant as the study prescribes.
- Modifying factors applied are summarised in Appendix 1– JORC Code 2012 Edition – Table 1 included in the ASX announcement released on 31 March 2025
Mature, Long Established Mining Industry in Mali
Numerous operating mines and capital reinvestments underway
- Stable and mining friendly jurisdiction with transparent system of mineral and surface title
- Political / social support of mining and stated ambitions to develop resources
- Mining industry is one of the largest contributors to the country’s GDP with a long and successful history of gold production
- Highly developed and active mining culture with major international companies operating in the country for decades (Barrick, Allied Gold, B2Gold, Resolute etc.)
- Birimian rocks are major sources of gold extending through Ghana, Côte d`Ivoire, Guinea, Mali and Burkina Faso
- Mali is the 3rd largest gold producer in Africa – continues to increase output
- Kobada is located in the Sikasso administrative region in southern Mali, near the border with Guinea, 126km from Bamako
- Southern Mali is considered to be a stable environment with the mining industry concentrated in the region
- Significant capital reinvestment being made – Leo Lithium, Barrick, Resolute, B2Gold and Allied Gold all undertaking or planning further development and expansion in country
