Overview
Awalé Assets (TSX:ARIC) is a mineral exploration firm targeted on high-quality gold and copper-gold deposits. The corporate’s Odienné undertaking is situated in Cote d’lvoire (Ivory Coast) in West Africa, near the borders of Guinea and Mali.
Cote d’lvoire has earned a repute as a pretty funding vacation spot for mining based mostly on a number of components. First, its secure regulatory framework mirrors the French civil regulation, and the federal government has decreased forms and established transparency. Second, the area has wonderful infrastructure comprising highway networks, ports, airports and electrical energy networks. Third, the nation’s engaging geological profile is wealthy in a number of minerals together with gold, copper, manganese, bauxite and iron. West Africa is extensively considered a promising gold-producing area with 300 Moz of gold assets. Fourth, its socio-economic surroundings displays its numerous financial system with a considerable labor power. Lastly, the nation affords a number of tax incentives to draw overseas buyers.
The Odienné Challenge affords Awalé Assets a serious foothold on this promising gold province. The undertaking space spans 2,462 sq. km. over seven permits and is house to a number of gold and copper-gold discoveries.
The undertaking has seen 4 vital discoveries, together with three in 2023 (Empire, Charger and Sceptre East) and one in early 2024 (BBM). Empire returned high-grade gold intercepts, whereas Charger and Sceptre East Goal returned iron oxide copper gold (IOCG) type mineralization. The BBM goal, found in January 2024, is a brand new gold-copper discovery with vital scope for fast enlargement. Along with the brand new discovery, additional vital outcomes with seen gold have been returned from the primary two scout holes on the Lando Goal, which lies 10 kilometers northwest of the brand new BBM discovery.
One other essential characteristic of the corporate’s brilliant prospects is its relationship with Newmont, the world’s main gold firm. Newmont elevated its stake in Awalé to fifteen.48 % in December 2023, from 5.94 %, following a personal placement of practically C$1 million. This funding will allow Awalé to speed up the exploration of its wholly owned permits and likewise indicators a vote of confidence within the vital potential of Awalé.
Newmont holds a three way partnership settlement on two of the seven permits on the Odienné undertaking and is funding one hundred pc of the exploration on the JV permits. Newmont has the choice to earn as much as a 75 % curiosity within the Odienné Challenge by funding US$15 million in exploration expenditures.
Beneath the preliminary part, Newmont will make investments US$5 million in exploration expenditure which can permit it to earn 51 % curiosity within the Odienné Challenge. Beneath the second part, the mining big will make an extra US$10 million in exploration expenditures concentrating on to outline 2 Moz gold assets, and permitting it to earn an extra 14 % stake within the undertaking. Lastly, Newmont has the choice to buy a minority 10 % curiosity within the Odienné Challenge which, if exercised, would enhance Newmont’s curiosity to 75 %. The connection with Newmont is a key optimistic for the prospects of the corporate.
Awalé underwent a serious overhaul in Might 2023, appointing a brand new CEO and board. Beneath the brand new administration, led by CEO Andrew Chubb, the Awalé crew is nicely positioned to guide the corporate in its future development endeavors.
Firm Highlights
- Awalé Assets is a mineral exploration firm targeted on discovering gold and copper-gold deposits in Côte d’Ivoire (Ivory Coast).
- The corporate’s flagship Odienné undertaking is situated within the northwest Denguèlé Area of Côte d’Ivoire in West Africa.
- The undertaking spans over 2,462 sq. km in space with seven permits and is situated in a area that boasts over 300 million ounces (Moz) of gold deposits. The geological setting of the Odienné district is akin to that of different vital iron oxide copper gold (IOCG) provinces globally, rising the possibilities of the Odienné Challenge turning into the primary main IOCG deposit in West Africa.
- The undertaking has made three vital discoveries in 2023 – Empire, Charger and Sceptre East. Furthermore, in January 2024, the corporate introduced a brand new discovery in BBM and inspiring outcomes for the Lando goal.
- A key optimistic for the corporate is its relationship with Newmont, the world’s main gold mining firm. Newmont elevated its stake to round 15.48 % (beforehand 5.94 %) within the firm and holds a three way partnership settlement on two of the seven permits at Odienné Challenge.
- Awalé underwent a serious overhaul in Might 2023, together with the appointment of a brand new CEO and new board. Beneath the brand new administration led by CEO Andrew Chubb, the corporate has achieved vital milestones together with 4 new discoveries. The administration crew is nicely positioned to steer the corporate alongside its development journey.
Key Challenge
Odienné Challenge
The Odienné Challenge is the corporate’s flagship asset. The undertaking spans over 2,462 sq. km. and includes seven permits, of which two are below a JV settlement with Newmont. These permits maintain nice promise for gold and copper-gold deposits.
The Odienné Challenge has related geological traits to the Carajas Mineral Province and different IOCG provinces which might be main suppliers of gold and copper.
The undertaking is situated in West Africa and boasts over 300 Moz of gold deposits. There are a number of 10+ Moz deposits adjoining to the undertaking’s boundaries. A few of the different adjoining deposits are Predictive’s deposit in Guinea, and Centamin’s deposit which is roughly 50 kilometers south of the Odienné undertaking.
The undertaking is characterised by a number of high-potential targets and discoveries. These embody: 1) Empire discovery situated alongside the 20-kilometer Empire Gold Hall; 2) Sceptre East and Most important copper-gold targets; 3) Charger, a high-grade gold-copper discovery; 4) Lando, a 4-kilometer-long copper-gold goal; 5) and BBM, a 3.5-kilometer-long copper-gold goal.
The primary discovery was at Empire, a high-potential gold prospect situated round 5 kilometers from Sceptre and different copper-gold targets on the 20-kilometer-long Empire structural hall. Thus far, solely 5 kilometers of this pattern have been drilled. The important thing outcomes for this goal embody – 1) Gap OEDD-2: 27 meters at 3.1 grams per ton (g/t) gold from 43.2 meters, and a couple of) Gap OEDD-24: 15 meters at 13.1 g/t gold from 69 meters. Past this major goal, there’s potential for locating massive gold deposits alongside the east-west hall.
The second discovery was at Charger, the place a number of phases of drilling have been accomplished. A complete of 11 holes have been drilled at Charger with Gap OEDD-45 containing three high-grade intervals inside a 65-meter large zone of mineralization, together with 12 meters at 4.9 g/t gold. A few of the key outcomes at Charger embody 32 meters @ 3.0 g/t gold, 0.17 % copper, and 6.6 g/t silver, together with 4 meters @ 12.4 g/t gold, 0.7 % copper, and 30 g/t silver from 78 meters.
The third discovery was on the Sceptre East goal that spans round a 1.5-kilometer-long copper-gold-molybdenum-silver anomaly. Sceptre East is a part of the big 20 sq. km gold/copper/silver/molybdenum bearing mineralized system, which is named Sceptre. Discovery drilling commenced at Sceptre East in This fall 2022, and the preliminary part comprised a complete of seven holes totaling 1,092.2 meters. Comply with-up drilling in Q2 2023 consisted of 9 reverse circulation (RC) and three diamond drill holes for a complete of 1,730 meters. The important thing ends in the follow-up program embody gap OEDD-43, which returned 358.5 meters at 0.34 % copper equal from 6.5 meters downhole.
In addition to these three discoveries, the corporate introduced a brand new gold-copper discovery in January 2024 on the BBM goal. A complete of 4 holes have been drilled at BBM, all of which intersected high-grade gold. The important thing outcomes have been:
- Gap OEDD-59: 44 meters at 1.1 g/t gold and 0.2 % copper
- Gap OEDD-61: 51.9 meters @ 0.5 g/t gold, 0.27 % copper and 1.5 g/t silver from 25 meters
- Gap OEDD-62: 18.25 meters at 1.8 g/t gold, 0.3 % copper and 1.4 g/t silver from 156 meters
Moreover, vital outcomes with seen gold have been returned from the primary two scout holes on the Lando Goal, which lies 10 kilometers northwest of the brand new BBM discovery. Preliminary drilling at Lando is encouraging and warrants additional systematic drilling at this goal.
Administration Workforce
Andrew Chubb – CEO
Andre Chubb holds a BSc diploma from the College of New England, Australia, and is a member of the Australian Institute of Geologists and the Society of Financial Geologists. He’s a geologist with greater than 20 years of expertise in exploration and mining in numerous geographies, together with Africa, Europe and Australia. His expertise spans completely different domains together with main massive groups, operations and advisory roles. He was concerned in main the Mantra Assets’ Mkuju Challenge in Tanzania, from exploration by way of to feasibility and eventually to takeover by ARMZ/Uranium One for AU$1.02 billion.
Stephen Stewart – Director
Stephen Stewart holds a BA diploma from Western College in London, Ontario, an MBA from the College of Toronto, and an MSc diploma from the College of Florida. He has greater than 18 years of senior management expertise with a number of Canadian firms, together with Orecap, QC Copper & Gold, Mistango River Assets and Baselode Power. He’s additionally the founder and chairman of the most important mining-focused charitable group and fund in Canada, the Younger Mining Professionals Scholarship Fund.
Derk Hartman – Director
Derk Hartman holds an MSc diploma from Delft College of Know-how within the Netherlands and the FT non-executive director diploma from the UK. He has greater than 17 years of expertise within the mining and banking sectors. He has been related to BMO Capital Markets in an funding banking function for over 12 years and has wealthy expertise in numerous domains. Most lately, he served because the CFO of Silver Bear Assets, listed on TSX.
Robin Birchall – Chairman
Robin Birchall holds an MBA diploma from the College of Cape City, an MSc diploma from Edinburgh College, a BA diploma from Queens College, and a Première Degré en Langues Literature et Civilisation, from Stendahl College. He has 20 years of expertise within the administration and financing of useful resource firms. Beforehand, he has been related to Giyani Metals, Silver Bear Assets, Helium One International, BMO Capital Markets, and Canaccord Adams.
Charles Beaudry – Director
Charles Beaudry holds a BSc diploma in geology from the College of Ottawa and a grasp’s diploma in geology from McGill College. He has three many years of expertise in enterprise improvement, exploration, and undertaking administration. Beforehand, he has been related to IAMGOLD and Noranda-Falconbridge-Xstrata.
Andrew Smith – Chief Geologist
Andrew Smith holds a BSc diploma from the College of Aberdeen in Scotland and is a member of the Society of Financial Geologists and the London Geological Society. He has greater than 11 years of expertise in exploration and mining firms. He has beforehand labored with Randgold Assets in Senegal and leads the Awalé crew in Cote d’Ivoire.
Sharon Cooper – CFO
Sharon Cooper is certified as a chartered accountant, with over 10 years of expertise in accounting and auditing roles for mining and mining-related firms. Earlier than Awalé, she was related to Ernst and Younger and several other junior exploration and mining firms.
Karl Akueson – Native Advisor
Karl Akueson holds an MSc diploma in chemical engineering from the College of Manchester and MSc in metals and power finance from the Royal College of Mines. He’s a co-founder of the corporate and has served as an advisor since itemizing. He has additionally labored with BMO Capital Markets in London.
This text was written in collaboration with Couloir Capital.