Cora Gold has reported a 26% increase in reserves and stronger economics in an updated Definitive Feasibility Study (DFS) for its flagship Sanankoro Gold Project in southern Mali, positioning the asset as a high-margin open pit oxide mine with significant growth potential.
The updated study outlines probable reserves of 531,000 ounces at 1.13 grams per tonne gold, up from the maiden reserve of 422,000 ounces reported in 2022. Based on a gold price of $2,750 per ounce, the DFS delivers a post-tax internal rate of return of 65%, a 1.1-year payback, and free cash flow of $479 million over the life of mine.
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Sanankoro is projected to produce an average of 64,000 ounces of gold annually in its first five years, before averaging 47,000 ounces a year across a reserve-based mine life of 10.2 years.
Operating costs are expected to average $948 per ounce, with all-in sustaining costs (AISC) of $1,478 per ounce. Pre-production capital costs are estimated at $124 million.
Metallurgical tests confirmed life-of-mine gold recoveries of 90.7% through a conventional 1.5 million tonne per annum carbon-in-leach plant. The design also includes a solar hybrid power option, which is expected to cut costs and reduce diesel consumption by 40 million litres over the life of mine.
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Chief executive officer Bert Monro said the results marked a major step forward for the project. “Sanankoro is an exceptional project well positioned to become a significant new high-margin open pit oxide gold mine. We are delighted to have meaningfully increased the project’s reserves, with an initial 10-year mine life, from minimal drilling,” Monro said.
He added that the project’s robustness was notable given recent changes under Mali’s 2023 Mining Code, which increased royalties and taxes, adding about $290 per ounce to AISC. “In light of these factors, it is a strong testament to the robustness of the project that it is delivering such strong returns,” he said.
Beyond reserves, Cora has identified an additional 173,000 ounces of potential production through a management plan that incorporates pit-optimised inferred resources. Further drilling could convert these into reserves and extend mine life by up to five years.
Exploration upside also remains strong, with 19 new targets identified near the plant and mineralisation still open along strike and at depth. Cora is now focused on securing permits and financing to move Sanankoro into construction.