Mali Lithium to drill gold portfolio following review
Mali Lithium (ASX: MLL) has completed a full review of its African gold assets with a drill program likely to be commenced later in the year.
Mail Lithium has received a total of A$4.46 million in royalty revenues from its gold mining joint venture with Barrick Gold over the last 12 months, with the Company’s gold assets complementing its main focus on the world-class Goulamina Lithium Project.
Mali Lithium managing director Chris Evans said with work progressing well on the Goulamina project, the Company was taking the opportunity to drive more value from its gold portfolio in parallel with development of its flagship Lithium project.
"The Mali Lithium Board and management team remain focused on completing the Definitive Feasibility Study (DFS) in the first quarter of 2020 for the development of our Goulamina Lithium Project but the current gold price has created an opportunity to consider options to further unlock the potential in our gold portfolio,” Mr Evans said.
“Our joint venture with Barrick Gold Corporation, one of the largest gold miners in the world, has already successfully produced 64,000 ounces of gold from our tenements in the last 12 months, and the A$4.46 million in royalties we have received has been a welcome inflow of revenue.
“The elevated gold price has resulted in higher than anticipated revenues from the Barrick joint venture.
“Now that we have identified highly prospective drill targets in the review of our gold portfolio, it is an ideal time to capitalise on these high prices.”
"Mali Lithium had already planned to have a drill rig operating in Mali to conduct work at Goulamina later this year and will transport the rig to its gold assets when that work is complete.
“We will have a drill rig in Mali to generate technical information, infill and extend resources and reserves to enhance the Goulamina DFS later this year.
"Given that the Company gold tenements are geographically close to Goulamina this is an ideal opportunity to design a program to test high priority drill targets. We look forward to proving drilling details to the market shortly.”