PERTH (miningweekly.com) – Gold miner West African Resources has set a ten-year production outlook for the Sanbrado gold project, in Burkina Faso, along with a production target for 2022.

The ASX-listed company on Tuesday said that gold production in 2022 would reach between 220 000 oz and 240 000 oz, compared with the 288 719 oz delivered in the 2021 financial year, with Sanbrado expected to average 198 000 oz/y in production between 2022 and 2031.

“Sanbrado’s strong performance is set to continue in 2022 with unhedged production guidance of 220 000 oz to 240 000 oz of gold at an all-in sustaining cost (AISC) of $1 040/oz to $1 100/oz,” said West African executive chairperson and CEO Richard Hyde.

He noted that the maiden Toega ore reserve estimate of 580 000 oz of gold at 1.9 g/t gold replaces ore mined since commissioning in 2020 and extends Sanbrado's mine life out to 2034.

The current mine plan at Sanbrado will see the higher grade M1 pits depleted by the end of 2022 and M5 South Stage 2 pit by the second quarter of 2025. It is planned for the Toega pit to replace the relatively higher grade M5 South ore at a reserve grade of 1.9 g/t gold. The lower grade ore from M5 North will supplement the Toega ore supply.

Total stockpiles at the end of 2021 were 1.7-million tonnes at a grade of 1.0 g/t gold containing 56 000 oz gold.

“The acquisition of the Kiaka gold project has increased the company’s resources 127% to 11.6-million ounces of gold and has consolidated an exciting 2 000 km² exploration land package over in the prospective Markoyé fault region in central and southern Burkina Faso,” said Hyde on Tuesday.

“Exploration drilling in 2022 will test targets along strike underground at M1 South and within trucking distance of Sanbrado and Kiaka, as we look to underpin long-term production at both projects.

“West African Resources is entering a significant growth phase, as we aim to be a +400 000 oz/y gold producer by 2025.”

As feasibility studies and development of project schedules for the Toega and Kiaka projects are in progress, growth capital expenditure for 2022 is expected to be in a range from $45-million to $75-million. Early works have commenced at the Toega and Kiaka projects, and planned 2022 work programmes include haul road, water pipeline and site establishment at Toega, while at Kiaka work will include upgrading access, establishment of camp facilities, sterilisation drilling as well as orders of long-lead items.

The Kiaka feasibility study is due to be completed by the end of the second quarter of 2022, which will be followed by a formal investment decision soon thereafter.