Name of the Project
Namdini gold project.

Location
The project is located within the Nangodi and Bole-Bolgatanga greenstone belts of north-east Ghana.

Project Owner/s
Cardinal Resources.

Project Description
Namdini has estimated proven ore reserves of 7.4-million tonnes at 1.31 g/t gold for 400 000 oz of gold, and probable reserves of 131-million tonnes grading 1.12 g/t gold for 4.7-million ounces of gold.

Metallurgical testwork carried out on the project to date indicates that gold can be satisfactorily recovered from Namdini ore using conventional process routes comprising crushing, grinding, gravity, flotation, regrind and carbon-in-leach (CIL) treatment of the flotation concentrate.

Planned production throughput is 9.5-million tonnes a year of run-of-mine ore.

Potential Job Creation
Not stated.

All-in Sustaining Costs/All-in Costs
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at a 5% discount rate, of $914-million and an internal rate of return of 43%, with a payback of 21 months.

Capital Expenditure
The project is estimated $390-million, including 11% contingency.

Planned Start/End Date
Production is targeted for the second half of 2022.

Latest Developments
The mining licence for the Namdini gold project has received Sovereign Parliamentary Ratification.

“It is most pleasing to have the Minister for Lands and Natural Resources, and the Minerals Commission of Ghana support our mining licence, which has led to the Sovereign Ratification . . . by the Parliament of Ghana,” said Cardinal CEO and MD Archie Koimtsidis.

This ratification and the recent issuing of the Environmental Protection Agency permit, along with the company’s water extraction permit and relocation action plan approval, puts the Namdini gold project in “an extremely secure and solid position for development”, he has added.

Cardinal is fielding takeover offers from gold producer Nordgold, which is offering 66c in cash for each share held, and from Hong Kong-based Shandong Gold Mining, which is offering a 60c a share offer.

Key Contracts and Suppliers
Lycopodium (feasibility study manager, process plant and associated infrastructure, capital cost and process operating-cost estimates, hydrology and hydrogeological engineering studies); Golder Associates Ghana (geotechnical engineering studies); Knight Piésold Consulting (tailings storage facility, environmental and selected infrastructure design); ALS Laboratory (metallurgical testwork to support the process design criteria); Orway Mineral Consultants (comminution data analysis, crushing and grinding option studies); Independent Metallurgical Operations (metallurgical testwork management, analysis and process flowsheet development); Maelgwyn Mineral Services Africa (Aachen process metallurgical optimisation); MPR Geological Consultants (mineral resource modelling of the Namdini deposit); Orefind (geology and deposit structural genesis); NEMAS Consult (environmental-impact assessment study); Geosystems Consulting (tailings storage facility environmental-impact study); MKM Social (socioeconomic study and resettlement action plan); Sebbag Group International (mine design review); Whittle Consulting (enterprise optimisation); and BDO Advisory (financial model integrity and reviewer).

Contact Details for Project Information
Cardinal Resources, tel +61 8 6558 0573 or email info@cardinalresources.com.au.