Modern Mining December 2024

GOLD OUTLOOK

that the price of gold will be trading at $3,000/oz by 2026. According to Swiss bank, UBS, the gold price is expected to break through $3,000/oz sometime next year. “The gold price has jumped significantly from when we published our definitive feasibility study (DFS) in 2022, using the price of $1650/oz for our reserves and $1750 for our economics. The gold price is now more than $800 higher than it was and delivers significant upside to the project going forward. As the studies are a couple of years old, we will need to refresh the DFS ahead of getting Sanankoro ready for construction.” Further to this, the highly favourable gold price should significantly reduce the payback period on the project which was initially 1.2 years using US$1,750 gold price. “While we can’t control the price of gold, we are able to control our cost of production, and, like all miners, we will target gold production at the lowest cost. As a low-cost project, the soaring gold price remains extremely positive for us.” CSI initiatives The gold explorer’s CSI initiatives are aligned with a three-pronged approach, which entails philanthropic endeavours related to improving healthcare and education, a focus on promoting initiatives around alternative livelihoods,

Cora Gold is busy ramping up its exploration portfolio

open pit oxide mining operation with free digging oxide from surface”. “This will be a straightforward and reasonably quick construction process that will be accompanied by lower-than average operating costs when compared to other mining operations.” The upside to developing the project at a time when the gold price is trading at an all-time high of above $2600/ oz is that Cora Gold will revisit project development costs in line with the new greatly appreciated gold price. Even better, gold bulls remain upbeat

and continued to unlock exploration success. As it stands, we have a debt arrangement in place with Atlantique Finance and an extremely supportive share register.” Anticipating the reception of its mining permit in 2025, Cora Gold is looking forward to taking its flagship asset into the construction phase before the end of next year. According to Monro, the construction timeline of 18 months for project development remains unchanged, given that the project is a “straightforward

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16  MODERN MINING  www.modernminingmagazine.co.za | DECEMBER 2024