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Bassari secures funds for Makabingui in Senegal

17th November 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Junior gold developer Bassari Resources has secured A$1-million in additional funding for its Makabingui gold project, in Senegal.

The company announced on Monday that it would issue convertible notes, with a face value of 1.6c each and bearing an interest rate of 8% a year, to raise the funds.

The convertible notes would be issued in three tranches, with the first due on November 21, the second by December 22 and the last by January 21.

“We are continuing to advance funding options with a number of banks and financial institutions, with recent site visits advancing their due diligence work,” said MD Jozsef Patarica.

He noted that the results from the openpit feasibility study, along with the underground scoping study had attracted considerable interest from a number of funding sources.

A feasibility study into the Makabingui project had estimated a capital cost of some $12-million to allow for the mining of about 171 000 oz of gold. The study indicated that the 11.9-million-tonne resource, grading 2.6 g/t gold, could deliver 50 000 oz/y of gold over a three-and-a-half-year mine life.

The study was based on a 300 000 t/y hard-rock operation, with ore initially sourced from four high-grade openpit mines.

Edited by Creamer Media Reporter

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