(Ecofin Agency) - The Afema gold project, situated 120 km southeast of Abidjan, was originally managed by Sodim, which now holds a 20% stake. Recently, Turaco Gold, an Australian mining firm, identified over 71 tons of gold at the project. 

Australia’s Turaco Gold announced on December 16 that it completed the acquisition of an 80% interest in the Afema gold project in Côte d'Ivoire. This acquisition builds on a previous agreement with Israel's Sodim to increase its initial 51% stake. 

Turaco initially took over the project in November 2023 by acquiring the shares of Endeavour Mining, which had an existing agreement with Sodim. Rather than conducting extensive exploration over several years to achieve a 70% interest, Turaco secured a new deal with Sodim. As part of this transaction, Sodim received $14.2 million, including some in Turaco shares, and now holds a 20% interest in the project.

@TuracoGold #ASXNews#Afema Drilling Continues to Deliver Additional Gold Mineralisation

Further Drilling Success Along the #Niamienlessa Trend and High-Grade Gold at #Jonction

ASX Announcement ? https://t.co/hbza8fjIIL$TCG #cotedivoire #exploration pic.twitter.com/7kVxIqNYSa

— TuracoGold (@TuracoGold) December 15, 2024

Turaco Gold did not specify the reasons behind the accelerated acquisition of the Afema project. However, the move is likely driven by the project's significant potential to hold at least 2.5 million ounces (71 tons) of gold. The company sees long-term potential for developing a gold mine at this site and is conducting additional exploration to expand the project's resources. 

However, to transform Afema into a functioning mine, Turaco must still undertake several critical steps, including economic viability studies and securing the necessary financing for the mine's construction.

This article was initially published in French by Emiliano Tossou and edited by Wilfried ASSOGBA

Edited in English by Ola S. Akinocho