Gold output in Africa’s third largest producer, Mali, is expected to increase following the commissioning of pre-production mining schedule on Hummingbird Resources’ Yanfolila Gold Project.
A statement by Hummingbird Resources said on Tuesday it had begun pre-production mining on schedule at its Yanfolila Gold Project in Mali and is on track to produce its first gold by the end of the year.
Mali is the continent’s third largest gold producer after South Africa and Ghana. Around a quarter of the government’s revenue come from gold but output has been falling this year pending the opening of new mines.
In its first full year of production, Yanfolila will produce 132,000 ounces of gold and average production over the life of the mine will be around 107,000 ounces per year.
Hummingbird shares have almost doubled this year after the AIM-listed company successfully raised $75 million in 2016 to begin mine construction.
Yanfolila is expected to be one of the highest margin, lowest cost gold projects in West Africa, Hummingbird added.