Roscan Gold Announces Positive Preliminary Economic Assessment for the Kandiole Gold Project in Mali

The most recent news (March 2, 2026) announces a Preliminary Economic Assessment (PEA) for the Kandiolé Gold Project in Mali. Key metrics include an after-tax NPV5% of US$498M and an IRR of 43% based on a US$3,100/oz gold price. The project envisions a 13-year mine life producing 834,858 oz of gold, with an average annual production of 92,786 oz in the first four years. Capital costs (Capex) are estimated at US$297.2M. Notably, 97% of the mill feed is sourced from Indicated resources, providing higher geological confidence than typical PEAs.

The news is Material - Positive as it provides the first economic blueprint for the company’s transition from explorer to developer. However, several "red flags" temper the excitement: - High AISC: The All-In Sustaining Cost (AISC) is US$1,568/oz. While profitable at current gold prices, this is in the upper quartile of global production costs, leaving the project vulnerable to gold price pullbacks. - Capex vs. Market Cap: The US$297.2M initial Capex is roughly 5.5x the company's current market capitalization, indicating massive future dilution or heavy debt loads will be required to build the mine. - Mali Jurisdiction: While the mining title suspension was lifted in 2025, Mali remains a high-risk jurisdiction with evolving mining codes.

Roscan Gold is focused on the Kandiolé Gold Project in West Mali. The project is located in a prolific gold belt near several multi-million-ounce deposits (B2Gold’s Fekola and Allied Gold’s Sadiola). The project currently hosts an Indicated resource of 1.02 Moz and an Inferred resource of 0.2 Moz. The PEA focuses on a conventional open-pit, CIL (Carbon-in-Leach) operation.