MDL to complete Sabodala expansion in next 12 months
PERTH (miningweekly.com) – ASX- and TSX-listed Mineral Deposits Limited (MDL) would complete the expansion of its Sabodala gold project, in Senegal, within the next year, the company’s chairperson said on Friday.
Speaking at the last day of the Africa Downunder conference in Perth, Nic Limb stated that the Sabodala expansion would see capacity at the gold operation increase from its current 2,5-million tons a year to around four-million tons a year.
Gold production would move to 200 000 oz/y, once the operation reached steady state production, up from its current levels of around 170 000 oz/y.
The expansion operation would be financed through existing cash flow, Limb told delegates.
MDL has recently announced that it would spin-off its Sabodala project into a separately listed Canada-based company, which would be listed on the TSX.
Limb said on Friday that the majority of the shares in the newly listed company would be offered to existing MDL shareholders through an initial public offering (IPO), raising funds for its Grande Côte mineral sands project, also in Senegal.
Subsequent to the IPO, MDL would own about 15% of the pure West African gold company.
