Topped up7 May 2021 11:42
Couldnt resist.
Gold update might be moreinteresting than people think and should include mining licence progress. Meanwhile Lithium here is just a no brainer. Possibly people dont appriciate the extent of the assets here.
Current project has a strong IRR and its purpose is to get the project financing up and running. The return period is 1.7 years and as it stands its an attractive investment for anyone. The life of the mine is 8.5 years using the resources included in the study.
However, the Company intends to continue its 'systematic exploration approach to rapidly explore the project area'. The feasibility study is based on only three of the ten prospects identified to date, places the Bougouni Project in the top 15 projects globally but still surrounded by HUGE untapped potential. Collectively, Kodal has a land holding of over 800km2 in Mali, making it the largest lithium developer in West Africa in terms of acreage and I suspect, once further work is completed it will be proven to be one of the largest Lithium resources IN THE WORLD. Surrounding projects have larger resources on their books but they have done more work to prove them up. The potential here is huge.
As the price of Lithium increases the project becomes much more profitable as the costs remain the same. A 100% rise in Lithium prices would equate to the project being 4 TIME MORES PROFITABLE. Lithium is expected to triple in value by 2025 which is 8 times more profitable. Its already 20% over the price used in the study.
We will continue to get resource upgrades and the Lithium price will continue to rise. The feasibility study is just a snapshot in time to get the project financing. Anyone interested in buying the company (a bit early for that IMO) or financing the project will just plug in the most up to date numbers which continue to improve.
Overview of gold projects - a little out of date now:
FATOU - excellent exploration prospects that are drill ready, preliminary Mineral Resource estimate exceeding 350,000 ounces gold
NANGALASSO & SLAM- Early stage - Previous exploration identified a large geochemical gold anomaly with some historic trench sampling
DABAKALA -10km of strike length and up to 800m width , further work is required to define this prospect prior to initial drill testing.
KORHOGO - 2kms in strike length and up to 600m width, further work is required
RESOLUTE JOINT VENTURE- Nielle - 3km of strike, with widths exceeding 1.5km width. high-grade gold up to 13.88g/t gold. Kodal is free carried to completion of a feasibility study. Exploration is continuing at Nielle with the mineralisation remaining open along strike and at depth
There are a few others.
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