(Ecofin Agency) - Canadian company Asante Gold runs two gold mines in Ghana and aims for an annual production of 500,000 ounces by 2028. Asante plans to develop an underground operation at Bibiani, one of the two mines–a move which the firm expects to yield 250,000 ounces annually starting in 2026.

Over the next two years, Asante Gold will spend $116 million to boost the output of its Bibiani project in Ghana. Announced on January 14, the investment is backed by findings from a feasibility study, according to which Bibiani could deliver 798,000 ounces (22.6 tonnes) of gold over seven years.

The announced investment will mostly help develop an underground operation at the open-pit mine. Asante plans to get the funds from Bibiani’s current output. The company plans to hire a contractor in Q3 2025 and kick off underground operations at the end of the year. Bibiani produced 48,000 ounces in the nine months ended in October 2024.

“Since Asante acquired the Bibiani property in 2021, we have revitalized the operation and reshaped the business plan.  We are on a path to achieving annual production of more than 250,000 ounces in 2026 and beyond, further supported by launching underground operations in Q4 2025 and other growth initiatives that have already advanced,” Asante CEO, Dave Anthony, noted. 

The underground project is part of Asante’s recent efforts to bolster its output. One of these projects is the Bibiani-Goaso bypass completed in June 2024. The bypass connects to a deposit discovered under the Bibiani-Goaso highway. Another project is a processing plant, under construction and set to be ready in Q2 2025.

Asante eyes an annual production of 500,000 ounces of gold by 2028. This includes output from the firm’s second mine, Chirano. Besides bolstering Asante’s output, the projects launched will benefit the Ghanaian government through taxes and royalties, as the State holds a stake in Asante via its Sovereign Mining Fund.

This article was initially published in French by Emiliano Tossou

Edited in English by Ola Schad Akinocho