TIDMHUM
RNS Number : 8192V
Hummingbird Resources PLC
16 December 2021
Hummingbird Resources plc / Ticker: HUM / Index: AIM / Sector:
Mining
16 December 2021
Hummingbird Resources plc
('Hummingbird' or the 'Company')
Kouroussa Gold Mine Update
Development Update & Significant Infill Drilling Results
Received
Hummingbird Resources plc (AIM: HUM) provides an update on t he
Company's mine development progress and results from the second
assay batch of the 2021 Resources and Reserves infill drilling
programme, including a metallurgical hole of 55 metres ("m") at
35.72 grams a ton ("g/t") from 77m, at the Kouroussa Gold Mine
("Kouroussa" or "the Project") in Guinea . For the full release,
including graphics, please follow the link here
http://www.rns-pdf.londonstockexchange.com/rns/8192V_1-2021-12-15.pdf
.
Kouroussa Development Update:
Mobilisation of equipment and personnel has begun to enable
construction to commence in early January 2022 by the Projects'
construction and engineering firm WACOM, inline with the Project
schedule and targeted first gold pour by the end of Q2 2023, as
detailed below.
Key highlights include:
-- Essential construction equipment and personnel have begun to
arrive on site to enable construction to officially commence in
early January 2022 and delivery of first gold pour by the end of Q2
2023, along with the ordering of long-lead items
-- Detailed engineering on structural, mechanical, and
electrical requirements has commenced
-- Tenders for other key contracts are at advanced and final
stages: mining; power; fuel supply and other key related
infrastructure
-- The finalisation of the Projects carbon emission reduction
strategies, along with awarding of the power contract, which is
expected to include a significant solar component and other
technologies aimed at reducing emissions significantly
-- Initial advance of c.US$40 million from Coris Bank
International ("Coris Bank") as part of US$100 million funding
package, to enable construction to commence. See release dated 12
October 2021 for full details of the Company finance facility and
Project specifics: link
Kouroussa Drilling Highlights :
Hummingbird has received the second assay batch of results on 40
Reverse Circulation ("RC") and seven diamond holes on the
high-grade KoeKoe ("KK") deposit, delivering approximately 4,562 m
out of the Company's c.24,000 m infill drilling programme for
2021.
Notable drill results from the KK deposit include:
-- 55m at 35.72 g/t from 77m ( KRCD1729A )
-- Including an interval zone of 20.75m at 91.98 g/t
-- 5.9m at 12.72 g/t from 94m (KRCD1880)
-- 10.2m at 5.68 g/t from 34m (KRCD1884)
-- 9.8m at 5.82 g/t from 3m (KRC1821)
-- 49m at 5.50 g/t from 70m (KRC1866)
-- 10m at 4.76 g/t from 140m (KRCD1878)
-- 6m at 4.91 g/t from 29m (KRCD1880)
-- Drill hole KRCD1729A, a metallurgical hole drilled to collect
sample material for metallurgical test work, intersected a
significant high-grade mineralisation interval of 55m at 35.72 g/t
(from 77m), including an internal zone of 20.75m at 91.98 g/t
o The hole exceeded expectations in terms of grade and confirms
the interpretation of the current Mineral Resources Estimate
("MRE") and potential for further resource growth
-- The above results continue to demonstrate the high-grade
nature of the KK deposit at relatively shallow depths - as also
highlighted in the recent Kouroussa drilling release on the 22
October 2021: link . The c.24,000m 2021 Kouroussa infill drilling
programme is nearing completion, with less than 1,500m drilling to
be completed in December. This year's drilling programme will feed
into the Company's updated 2022 Resources and Reserves statements
scheduled for release in Q2 2022
-- Lastly, the Company notes further assays have been recently
received from the 2021 Kouroussa infill drilling campaign and will
be reported once fully reviewed in the new year
Dan Betts, CEO of Hummingbird Resources, commented:
"The mobilisation of equipment and personnel at Kouroussa marks
another important step towards the Company's strategic goal of
being a multi asset producer. A material amount of work has been
done, assembling the team and infrastructure, so that construction
can commence, and that capex budgets and timelines are
delivered.
Further, the ongoing exceptional drilling results being received
at Kouroussa highlight we have an asset of significant value, with
a material amount of exploration potential ahead of us."
Noris Del Bel Belluz, Group Technical Services Manager of
Hummingbird Resources, commented:
"The assays results received so far from the Inferred to
Indicated drilling campaign, and the historical drilling results
pre-2021, clearly demonstrate that the Koekoe deposit - and
Kouroussa in general - host impressive gold grades. We are now
finalising plans for our 2022 Kouroussa exploration drilling
campaign to build upon the success being seen in 2021. We expect to
continue to see the upgrading of the quality of the
reserves/resources to further extend the current mine life at
Kouroussa."
Kouroussa Gold Mine highlights
Kouroussa is forecast to be a high-grade, low-cost mine that
will produce between 120,000 and 140,000 ounces ("oz") for the
first three years of production, and an average 100,000 oz over the
initial seven-year life of mine ("LOM"), with upside potential with
further exploration. The project has industry-leading economics at
a gold price of US$1,750 per oz*, including
-- IRR 71%
-- NPV US$210 million
-- Cumulative free cash of US$314 million
-- All-In Sustaining Cost ("AISC") in the range of US$900-US$1,000 per oz throughout the LOM
-- Project capex total estimate of US$115 million
With the mobilisation of equipment and personnel on site the
Company remains on track for first gold pour by the end of Q2
2023.
Notes from the highlights: * Project NPV's are based on a 10%
discount rate and both the NPV and IRRs are post tax.
WACOM
The Company has formally appointed WACOM to perform the civil
and structural design of the process plant, along with the plant
fabrication and construction. WACOM is a group of companies
specialising in the construction of mining and industrial
infrastructure in the West African region. WACOM have a large
fabrication and machining workshop in Bamako, Mali where most of
the structural steel, plate work and tanks will be fabricated and
transported by road to Kouroussa. This will ensure both low cost
and timely sequenced arrival of fabricated components for plant
construction WACOM has successfully built a number of mines,
including Yanfolila (when formally known as IMAGRI), which was on
time and on budget. (See release dated 12 October 2021 for further
details: link )
The WACOM contract is a lump sum fixed price, with penalties for
late delivery. Additionally, to help ensure the Project is
delivered on time, the Company has agreed an incentive package
consisting of a potential bonus of up to US$2.6 million, consisting
of a cash bonus of up to US$0.75 million with the balance of up to
US$1.85 million (GBP1,395,000) payable through the issue of
6,342,857 new shares in Hummingbird Resources Plc at the agreed
price of GBP0.22 per share, to be issued 12 months after expected
delivery date (i.e., in 1H 2024).
Koekoe deposit section view - Hole KRCD1729A
Koekoe selected drill results
Hole ID Depth From (m) Depth To (m) Intercept Description
KRC1784 16 23 7m @ 2.67 g/t
--------------- ------------- ----------------------
KRC1786 91 93 2m @ 23.34 g/t
--------------- ------------- ----------------------
KRC1787 8 13 5m @ 1.17 g/t
--------------- ------------- ----------------------
KRC1789 45 63 18m @ 2.33 g/t
--------------- ------------- ----------------------
KRC1803 0 32 32m @ 1.11 g/t
--------------- ------------- ----------------------
KRC1810 31 46 15m @ 3.88 g/t
--------------- ------------- ----------------------
KRC1815 40 41 1m @ 4.52 g/t
--------------- ------------- ----------------------
KRC1815 56 57 1m @ 6.38 g/t
--------------- ------------- ----------------------
KRC1816 30 34 4m @ 4.52 g/t
--------------- ------------- ----------------------
KRC1821 3 12 9m @ 5.82 g/t
--------------- ------------- ----------------------
KRC1862 96 99 3m @ 10.96 g/t
--------------- ------------- ----------------------
KRC1866 27 45 18m @ 1.29 g/t
--------------- ------------- ----------------------
KRC1866 70 119 49m @ 5.50 g/t
--------------- ------------- ----------------------
KRC1866 126 129 3m @ 4.48 g/t
--------------- ------------- ----------------------
KRC1867 73 76 3m @ 5.36 g/t
--------------- ------------- ----------------------
KRC1870 88 111 23m @ 1.59 g/t
--------------- ------------- ----------------------
KRC1877 90 98 8m @ 1.39 g/t
--------------- ------------- ----------------------
KRC1877 114 117 3m @ 41.32 g/t
--------------- ------------- ----------------------
KRCD1728 56 61 5m @ 2.39 g/t
--------------- ------------- ----------------------
KRCD1728 125 147 22m @ 3.74 g/t
--------------- ------------- ----------------------
KRCD1729A 77 132 55m @ 35.72 g/t
--------------- ------------- ----------------------
KRCD1878 140 150 10m @ 4.76 g/t
--------------- ------------- ----------------------
KRCD1880 29 35 6m @ 4.91 g/t
--------------- ------------- ----------------------
KRCD1880 72 75.8 3.8m @ 3.67 g/t
--------------- ------------- ----------------------
KRCD1880 94.1 100 5.9m @ 12.72 g/t
--------------- ------------- ----------------------
KRCD1880 162 166 4m @ 2.26 g/t
--------------- ------------- ----------------------
KRCD1883 15 42.5 27.5m @ 3.02 g/t
--------------- ------------- ----------------------
KRCD1883 57.25 59.5 2.25m @ 3.45 g/t
--------------- ------------- ----------------------
KRCD1883 143.35 153.1 9.75m @ 5.86 g/t
--------------- ------------- ----------------------
KRCD1884 12.9 26 13.1m @ 4.58 g/t
--------------- ------------- ----------------------
KRCD1884 34 44.2 10.2m @ 5.68 g/t
--------------- ------------- ----------------------
Koekoe deposit - Historical drilling & 2021 infill drilling
plan
Qualified Person Review:
David Muir, has reviewed and approved the technical information
contained within this announcement in his capacity as a Qualified
Person, as required under the AIM Rules for Companies. David is the
Group Database Manager for Hummingbird, and is a "Competent
Person", according to the Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves ("JORC
Code, 2012 Edition") and is a member of good standing with the
Australian Institute of Geoscientists (AIG).
**ENDS**
Notes to Editors:
Hummingbird Resources (AIM: HUM) is a multi-asset,
multi-jurisdiction gold production, development and exploration
Company, member of the World Gold Council and founding member of
Single Mine Origin ( www.singlemineorigin.com ). The Company
currently has two core gold projects, the operational Yanfolila
Gold Mine in Mali, and the Kouroussa Gold Mine in Guinea, which
will more than double current gold production when in production,
scheduled for first gold pour end of Q2 2023. Further, the Company
has a controlling interest in the Dugbe Gold Project in Liberia
that is being developed by Pasofino Gold Limited through an earn-in
agreement. Our vision is to continue to grow our asset base,
producing profitable ounces, while placing our Environmental,
Social & Governance ('ESG') policies and practices at the heart
of all we do.
For further information please visit https://www.hummingbirdresources.co.uk/ or contact:
Daniel Betts, Hummingbird Resources Tel: +44 (0) 20 7409
CEO plc 6660
Thomas Hill,
FD
Anthony Köcken
, COO
Edward Montgomery,
CSO & ESG
James Spinney Strand Hanson Limited Tel: +44 (0) 20 7409
Ritchie Balmer Nominated Adviser 3494
-------------------------- ----------------------------
James Asensio Canaccord Genuity Limited Tel: +44 (0) 20 7523
Thomas Diehl Broker 8000
-------------------------- ----------------------------
Bobby Morse Buchanan Tel: +44 (0) 20 7466
Ariadna Peretz Financial PR/IR 5000
James Husband Email: HUM@buchanan.uk.com
-------------------------- ----------------------------
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
UPDFFSEEIEFSESE
(END) Dow Jones Newswires
December 16, 2021 02:00 ET (07:00 GMT)
Hummingbird Resources (LSE:HUM)
Historical Stock Chart
From Jan 2025 to Feb 2025
Hummingbird Resources (LSE:HUM)
Historical Stock Chart
From Feb 2024 to Feb 2025
