HIGHLIGHTS:
- Mining permit award marks final approval required to launch
construction and operating activities for the Koné project
- Agreement on land compensation completed, which demonstrates
the support received from local stakeholders
- Permitted area includes several advanced high grade
exploration targets, located near the haulage road, which
are being prioritized given their potential to be slotted into the
mine plan from the commencement of the operation
ABIDJAN,
Cote d'Ivoire, July 10,
2024 /CNW/ - Montage Gold Corp. ("Montage" or the
"Company") (TSXV: MAU) (OTCQX: MAUTF) is pleased to report that
the Council of Ministers of Côte d'Ivoire has today announced that
it has awarded the mining permit for the Koné project to
Montage.
Martino De Ciccio, CEO of
Montage, commented: "We are delighted to be awarded our mining
permit which represents a significant milestone in the development
of our Koné project and reflects the strong support received from
our local stakeholders given our win-win approach focused on local
content. In addition, we are also pleased to have reached an
agreement on land compensation with our local communities which
further demonstrates the support for the advancement of our project
given the significant social and economic benefits that it will
unlock for our host communities and government.
We look forward to rapidly continuing to unlock value for our
stakeholders by progressing the Koné project towards an anticipated
construction launch by Q1-2025, while continuing to progress our
exploration strategy of delineating higher-grade targets that can
be slotted into the mine plan from the commencement of the
operation.
We are excited with the momentum created across our business
which positions us to deliver our strategy of creating a premier
African gold producer, beginning in Côte d'Ivoire given the
country's highly favourable investment climate, significant
geological potential, and our extensive experience in the
region."
Montage was awarded mining permits for both its Koné and
Gbongogo deposits, which are valid for 20 years and 8 years,
respectively, with opportunities to extend as further mine life is
added through exploration success. The awarding of mining permits
represents the last governmental authorisation required to enable
the development and operation of the Koné project with the official
decree to be received shortly following today's Council of
Ministers' meeting.
As shown in Figure 1 below, the mining permits cover a large
total area of 357km2 which encompasses both the Koné and
the Gbongogo deposits, in addition to several advanced high grade
exploration targets, located near the haulage road, which are being
prioritized given their potential to be slotted into the mine plan
from the commencement of the operation. Montage is therefore
rapidly advancing exploration at the Koné project with a
30,000-meter drill programme expected to be completed in late
July 2024. High grade intercepts have
already been received, as published on July
9, 2024, at several targets. A second 60,000-meter drill
programme is expected to be launched in late Q3-2024 with the goal
of delineating resources at top priority targets, in addition to
continuing to drill test other targets.
Neither TSX Venture Exchange nor its Regulation Services
Provider accepts responsibility for the adequacy or accuracy of
this release.
ABOUT MONTAGE GOLD CORP.
Montage Gold Corp. (TSXV: MAU) is a Canadian-listed company
focused on becoming a premier multi-asset African gold producer,
with its flagship Koné project, located in Côte d'Ivoire, at the
forefront. Based on the Feasibility Study published in 2024, the
Koné project ranks as one of the highest quality gold projects in
Africa with a long 16-year mine
life, low AISC of $998/oz over its
life of mine, and sizeable annual production of +300koz of gold
over the first 8 years. Over the course of 2024, the Montage
management team will be leveraging their extensive track record in
developing projects in Africa to
progress the Koné project towards a construction launch, thereby
unlocking significant value for all its stakeholders.
TECHNICAL DISCLOSURE
The Koné and Gbongogo Main Mineral Resource Estimates were
carried out by Mr. Jonathon Abbott
of Matrix Resource Consultants of Perth, Western
Australia, who is considered to be independent of Montage
Gold. Mr. Abbott is a member in good standing of the Australian
Institute of Geoscientists and has sufficient experience which is
relevant to the commodity, style of mineralization under
consideration and activity which he is undertaking to qualify as a
Qualified Person under NI 43–101.
The Mineral Reserve Estimate was carried out by Ms. Joeline McGrath of Carci Mining Consultants
Ltd., who is considered to be independent of Montage Gold. Ms.
McGrath is a member in good standing of the Australian Institute of
Mining and Metallurgy and has sufficient experience which is
relevant to the work which she is undertaking to qualify as a
Qualified Person under NI 43–101.
For further details of the data verification undertaken,
exploration undertaken and associated QA/QC programs, and the
interpretation thereof, and the assumptions, parameters and methods
used to develop the Mineral Reserve Estimate for the Koné Gold
Project, please see the UFS, entitled "Koné Gold Project, Côte
d'Ivoire Updated Feasibility Study National Instrument 43-101
Technical Report" and filed on SEDAR+ at www.sedarplus.ca. Readers
are encouraged to read the UFS in its entirety, including all
qualifications, assumptions and exclusions that relate to the
details summarized in this news release. The UFS is intended to be
read as a whole, and sections should not be read or relied upon out
of context.
Samples used for the results described above come from diamond
Drilling Holes and are based on 1 metre composite sample. Core
samples have been cut in two by core blade at the camp facilities
then shipped by road to Bureau Veritas facility in Abidjan, Côte d'Ivoire. They have been crushed
to 2 mm (70% passing) with 1 kilogram split out for pulverization
to 75μm (85% passing) then analysed by fire assay using a 50-gram
charge.
Field duplicate samples are taken, and blanks and standards are
added to every batch submitted. QA/QC has been approved in line
with industry standards and interpretations reviewed by the
Qualified Person.
QUALIFIED PERSONS STATEMENT
The scientific and technical contents of this press release have
been verified and approved by Silvia
Bottero, BSc, MSc, a Qualified Person pursuant to NI 43-101.
Mrs. Bottero, EVP Exploration of Montage, is a registered
Professional Natural Scientist with the South African Council for
Natural Scientific Professions (SACNASP), a member of the
Geological Society of South Africa
and a Member of AusIMM.
FORWARD LOOKING STATEMENTS
This press release contains certain forward-looking information
and forward-looking statements within the meaning of Canadian
securities legislation (collectively, "Forward-looking
Statements"). All statements, other than statements of historical
fact, constitute Forward-looking Statements. Words such as "will",
"intends", "proposed" and "expects" or similar expressions are
intended to identify Forward-looking Statements. Forward looking
Statements in this press release include statements related to the
receipt of the mining permit decree, the Company's mineral reserve
and resource estimates; the timing and amount of future production
from the Koné Gold Project; expectations with respect to the IRR,
NPV, payback and costs of the Koné Gold Project; anticipated mining
and processing methods of the Koné Gold Project; anticipated mine
life of the Koné Gold Project; expected recoveries and grades of
the Koné Gold Project; and timing for permits and concessions,
including that the Company will receive all approvals in H2-2024
necessary to build the project, and exploration plans for 2024.
Forward-looking Statements involve various risks and uncertainties
and are based on certain factors and assumptions. There can be no
assurance that such statements will prove to be accurate, and
actual results and future events could differ materially from those
anticipated in such statements. Important factors that could cause
actual results to differ materially from the Company's expectations
include uncertainties inherent in the preparation of mineral
reserve and resource estimates and definitive feasibility studies
such as the Mineral Reserve Estimate and the UFS, including but not
limited to, assumptions underlying the production estimates not
being realized, incorrect cost assumptions, unexpected variations
in quantity of mineralized material, grade or recovery rates,
unexpected changes to geotechnical or hydrogeological
considerations, unexpected failures of plant, equipment or
processes, unexpected changes to availability of power or the power
rates, failure to maintain permits and licenses, higher than
expected interest or tax rates, adverse changes in project
parameters, unanticipated delays and costs of consulting and
accommodating rights of local communities, environmental risks
inherent in the Côte d'Ivoire, title risks, including failure to
renew concessions, unanticipated commodity price and exchange rate
fluctuations, risks relating to COVID-19, delays in or failure to
receive access agreements or amended permits, and other risk
factors set forth in the Company's 2023 AIF under the heading "Risk
Factors". The Company undertakes no obligation to update or revise
any Forward-looking Statements, whether as a result of new
information, future events or otherwise, except as may be required
by law. New factors emerge from time to time, and it is not
possible for Montage to predict all of them, or assess the impact
of each such factor or the extent to which any factor, or
combination of factors, may cause results to differ materially from
those contained in any Forward-looking Statement. Any
Forward-looking Statements contained in this press release are
expressly qualified in their entirety by this cautionary
statement.
NON-GAAP MEASURES
This press release includes certain terms or performance
measures commonly used in the mining industry that are not defined
under International Financial Reporting Standards ("IFRS"),
including cash costs and AISC (or "all-in sustaining costs") per
payable ounce of gold sold and per tonne processed and mining,
processing and operating costs reported on a unit basis. Non-GAAP
measures do not have any standardized meaning prescribed under IFRS
and, therefore, they may not be comparable to similar measures
employed by other companies. The Company discloses "cash costs" and
"all-in sustaining costs" and other unit costs because it
understands that certain investors use this information to
determine the Company's ability to generate earnings and cash flows
for use in investing and other activities. The Company believes
that conventional measures of performance prepared in accordance
with IFRS, do not fully illustrate the ability of mines to generate
cash flows. The measures, as determined under IFRS, are not
necessarily indicative of operating profit or cash flows from
operating activities. The measures cash costs and all-in sustaining
costs and unit costs are considered to be key indicators of a
project's ability to generate operating earnings and cash flows.
Non-GAAP financial measures should not be considered in isolation
as a substitute for measures of performance prepared in accordance
with IFRS and are not necessarily indicative of operating costs,
operating profit or cash flows presented under IFRS. Readers should
also refer to our management's discussion and analysis, available
under our corporate profile at www.sedarplus.ca for a more detailed
discussion of how we calculate such measures.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/montage-gold-is-awarded-its-mining-permit-for-its-flagship-kone-project-in-cote-divoire-302193968.html
SOURCE Montage Gold Corp.