Australian miner Toubani Resources says its Kobada gold project in southern Mali remains on schedule, with first gold still targeted for the third quarter of 2027.
The company, listed on the Australian Securities Exchange as TRE, said in an update Tuesday that more than 70% of project costs are now committed and construction is moving ahead on several fronts. Managing Director Phil Russo said Kobada is now firmly in full construction mode and that the team remains on course to pour its first gold in the third quarter of next year.
What is happening on site
The biggest recent milestone came last month, when crews began erecting the carbon in leach tanks, a core part of the processing plant that recovers gold from crushed ore. Workers are also preparing and shaping the foundations for the mill and crusher, with concrete pours planned this month. All contractors are now on site, and Toubani plans to hire more people in Kobada, the Malian capital of Bamako and Perth, Australia.
How the Kobada gold project is funded
Toubani approved a final investment decision in March and began construction soon after. The project carries a US$216 million price tag and is designed to produce about 162,000 ounces of gold a year from an oxide dominant deposit, which is generally simpler and cheaper to process. The mine sits in Mali’s Sikasso region, about 126 kilometers from Bamako and near the border with Guinea. The resource stands at 2.2 million ounces.
Funding has come in layers. Toubani raised A$395 million in a private placement last year, including A$242 million from existing shareholder Eagle Eye Asset Holdings in exchange for an 11.1% stake. This year it lined up a A$302 million package, about $208 million, combining a gold stream deal and strategic equity financing. It has also advanced a term sheet for a senior secured loan of up to $40 million from a group led by AFG Bank.
Why it matters for Mali
Mali is trying to push its gold output well above the current 60 tonnes a year, and it is courting foreign miners under a mining code adopted in 2023. Kobada is one of several new mines and expansions in the pipeline. Toubani also signed an investment protocol with the Malian state and secured environmental, resettlement and infrastructure approvals before starting work.
The company is also updating its resource estimate to include recent drilling results from Foroko, a smaller deposit near the main site. A larger resource could extend the life of the mine.
Next up are the first gold stream drawdown, completion of the remaining financing and steady construction progress. Investors will be watching to see whether the schedule holds a year from first pour.
