Toubani Resources has reached a positive final investment decision (FID) for its Kobada gold project in Mali, with construction now underway.
With the approval in place, construction activities at the site have started with the development team in place, and contractors already mobilised to the site.
Toubani said it has clear momentum for the development of the project as it has finalised an investment protocol with the State of Mali and received environmental, resettlement and infrastructure permit approvals.
The company is targeting first gold production in the third quarter of 2027.
Toubani Managing Director Phil Russo said: “This is a momentous occasion for Toubani as we take the FID to move forward with building the Kobada gold mine.
“It represents years of dedication, rigorous planning, and unwavering belief in the quality of our asset and our people, as well as a singular focus on executing our stated strategy.
“As we enter the construction phase, we do so with confidence and clear purpose: To deliver a great gold mine and become a leading African gold producer.
Toubani has stated that Kobada is a project that ticks all of the right boxes, located in a stable and mining friendly jurisdiction.
The company set aside an initial development capex of US$216 million for the project with average gold production of 162,000 ounces at a low all-in sustaining cost of US$1,175 per ounce.