Asante Gold Corporation (CSE:ASE / FRANKFURT:1A9) is a Vancouver, Canada based gold exploration and development company, focused on developing high margin gold projects in Ghana, Africa's largest and safest gold producer. Senior management and advisors have previously discovered/developed 24 million ounces of gold resources in Ghana and managed its largest underground mine.
We have just announced the purchase of the Bibiani Gold Mine in Ghana from Resolute Mining for US$90 million in cash. This mine has produced 4 Moz of gold to date and has a 2.5 Moz resource developed by Resolute.
Bibiani is a sleeping giant – essentially unmined and on care and maintenance since Ashanti Goldfields exited the project in 2006 when gold was just US$650 per oz. Our investment strategy is to achieve near-term economic returns on this very long-life asset. Resolute has reported in their Bibiani Feasibility Study Update (see ASX Announcement dated 13 July 2018) 2.5 Moz (21.7 million tonnes grading 3.6 g/t) of gold in current JORC resources and Asante has recognized additional exploration upside opportunities, both from near surface and underground targets. Asante is already exploring on site and building the management and operations team with a view to bring the Bibiani mine back to production within the next year. Further discussions are underway to fully fund the acquisition and its’ development using non-dilutive financing.
We have also announced plans to develop our Kubi Gold Project as a 550 tpd underground gold mine under the former AngloGold Ashanti open pit Kubi Gold Mine. Kubi adjoins to the south of AngloGold Ashanti's 66 million ounce Obuasi Gold Mine, one of the World's greatest orebodies. We also operate the Keyhole and Betenase options and Fahiakoba exploration project, all located near the center of Ghana's Golden Triangle and all with significant high-grade gold discoveries and multi-million-ounce exploration upside.
We plan to develop our gold projects in a safe and environmentally sustainable way by utilizing new green mining technology including solar power.