• Projected output: 840,000 ounces of gold (26 tonnes) over 8.1 years.
• Project valuation: Net Present Value (NPV) of $563 million, Internal Rate of Return (IRR) of 72%.
• Timeline: Start of production targeted for Q2 2028, feasibility study expected mid-2026. 

Canada’s Fortuna Mining plans to bring its Diamba Sud gold project in Senegal into production by mid-2028, aiming for total output of 840,000 ounces over just over eight years. The company sees the project as a potential second African mine, following its Séguéla operation in Côte d’Ivoire.

According to a preliminary economic assessment (PEA) published on October 15, Diamba Sud hosts one million ounces of indicated and inferred mineral resources. The study outlines an open-pit mine expected to produce an average of 106,000 ounces of gold annually.

Fortuna estimates an initial capital expenditure of $283.2 million, with a payback period of around 10 months. Based on a consensus gold price of $2,750 per ounce, the project carries a net present value of $563 million and an internal rate of return of 72%.

However, Fortuna noted that these figures are preliminary, as they rely on resources still deemed “too speculative” for economic extraction. The company plans to convert them into proven reserves through a definitive feasibility study, expected by mid-2026.

To support this phase, Fortuna approved a $17 million budget to fund drilling, feasibility work, and early-stage development planning. The company has already submitted an environmental and social impact assessment to Senegalese authorities, with the mining license anticipated by June 2026.

If executed, Diamba Sud would become Fortuna’s second gold mine in Africa and Senegal’s fourth industrial-scale gold operation. Fortuna said the Senegalese government will hold a 10% free-carried interest, with the option to acquire an additional contributory stake of up to 25%.

This article was initially published in French by Aurel Sèdjro Houenou

Adapted in English by Ange Jason Quenum