• The Dugbe project could produce 2.27 million ounces of gold over 14 years, according to a 2022 feasibility study.

• The acquisition values Pasofino Gold at C$141.6 million ($103 million) in an all-cash deal.

• Dugbe’s estimated construction cost stands at $397 million, with a final investment decision still pending.

Mansa Resources, a subsidiary of Hummingbird Resources, signed an agreement on Monday, January 26, to acquire 100% of Canadian mining company Pasofino Gold, the operator of the Dugbe project in Liberia. The transaction values Pasofino at C$141.6 million, or about $103 million, and would place the future gold mine under the indirect control of Nioko Resources, owned by Burkinabè businessman Idrissa Nassa.

Nioko Resources acquired full ownership of Hummingbird Resources in 2024, while Hummingbird already held about 51% of Pasofino through Mansa Resources. Through this transaction, the group aims to purchase the remaining shares, absorb Pasofino entirely and assume full control of Dugbe. The all-cash deal remains subject to regulatory approvals, including approval by Pasofino shareholders.

What next for Dugbe?

If the Pasofino acquisition closes, Nioko will directly oversee Dugbe, a project designed to deliver 2.27 million ounces of gold over 14 years, with estimated construction costs of $397 million, according to the feasibility study. In April 2025, Idrissa Nassa’s group had already signed a cooperation and support framework agreement with Pasofino to revive the project, which had stalled for years due to financial challenges.

That initiative led, in May, to the announcement of a strategic plan aimed at updating Dugbe’s economic parameters, securing mining permits and advancing toward a final investment decision to launch construction. While Nioko opted to absorb Pasofino, the group has not yet announced concrete changes to the existing strategic roadmap.

However, the transaction also transfers significant structural challenges to Nioko. The Liberian government previously issued a notice of default against Pasofino for unpaid concession fees and social contributions linked to the project. That situation drew strong criticism locally in 2025.

Despite Dugbe’s geological potential, Nioko must still demonstrate its operational and governance capacity to deliver the project, even as gold prices continue to hit record highs. The agreement remains non-binding at this stage, as Pasofino retains the right to consider superior offers. The company has scheduled a special shareholders’ meeting in March to vote on the proposed transaction.

This article was initially published in French by Aurel Sèdjro Houenou

Adapted in English by Ange J.A. de BERRY QUENUM