(Ecofin Agency) - Located in Côte d’Ivoire, the Abujar gold mine produced its first gold in January 2023. It is owned by Australian company Tietto Minerals, which Chinese firm Zhaojin Mining has been trying to take over for months. However, Zhaojin, Tietto’s second-largest shareholder, has been facing opposition from other Chinese investors.

In Côte d'Ivoire, the Abujar gold mine delivered 37,111 ounces in the first quarter of 2024, marking a new quarterly production record since the first ingot was poured in January 2023. This announcement was made on April 8th by its owner, Tietto Minerals, who again rejected an offer to be taken over by one of its shareholders, Zhaojin Mining.

Our Abujar Gold Project hits record production of 37,111oz #gold in Q1 2024.
Monthly milling rates increased to 410,000 tonnes ore, and we are on track to be debt free and achieve full production by the end of H1 2024.https://t.co/EHceYA89rU $TIE pic.twitter.com/QVt6uEZuzm

— Tietto Minerals (@TiettoMinerals) April 8, 2024

“The directors of Tietto continue to unanimously recommend to Tietto shareholders to reject Zhaojin's offer,” a press release revealed, claiming that Zhaojin’s offer fails to match its value.

In October 2023, Zhaojin Mining submitted an offer to acquire the Australian company in a transaction valued at $400 million. However, Tietto's largest shareholder, the Chinese company Chifeng Jilong Gold Mining, is opposed to this transaction, as is another significant shareholder of the company, Kongwell Management Limited, a British fund manager representing another Chinese investor. 

Regarding the Abujar mine, the Ivoirian government expects to earn $256 million from the project. The mine, according to Tietto’s forecast, should have a lifespan of 10 years with open-pit mining and deliver an average of 200,000 ounces per year over its first six years of activity.