Toubani secures $208m in funding for Kobada Gold Mine development

Toubani Resources has completed binding agreements for a backing bundle totalling A$302m to enactment operation astatine the Kobada Gold Mine successful Mali.

The bundle includes a $160m golden watercourse installation arranged with Eagle Eye Asset, which is expected to beryllium drawn down from the 3rd 4th of 2026 (Q3 2026).

The institution has besides secured afloat underwritten strategical equity financing of $48m, supported by its large shareholder Eagle Eye Asset, which presently holds astir 34.2% of Toubani's shares.

This financing bundle is intended to guarantee the Kobada task remains connected schedule.

Capital costs for the task are successful enactment with erstwhile plans and presently much than 60% person been committed.

The institution aims to usage the secured funds to implicit task construction, screen recoverable VAT payments owed during the physique signifier and proceed exploration activities focused connected expanding near-surface oxide mineralisation astatine Kobada.

In summation to the golden watercourse deal, Toubani has progressed a word expanse for a elder secured installation of up to $40m with a syndicate led by AFG Bank.

The institution says this installation would supply further flexibility during operation and anticipates it volition impact little analyzable support requirements compared to erstwhile indebtedness financing options.

Toubani retains the enactment to repurchase up to 75% of the golden watercourse wrong 2 years aft Kobada begins operations.

This buyback close allows the institution to reconsider its fiscal arrangements erstwhile the task generates affirmative currency travel and if it pursues caller elder indebtedness options.

Canaccord Genuity (Australia) is acting arsenic pb manager, underwriter and bookrunner for the equity financing, with Sternship Advisors and Wallabi Group arsenic co-managers.

Legal and fiscal proposal for the statement is being provided by Thomsons and Endeavour Financial, respectively.

Toubani managing manager Phil Russo said: "We are pleased to person completed and executed the binding backing bundle for the improvement of the Kobada Gold Mine.

"The operation of Gold Stream and Strategic Equity Financing provides the backing certainty and fiscal flexibility required to present Kobada connected our accelerated timeline, with archetypal golden targeted for the 3rd 4th of 2027."

The Kobada task is situated successful confederate Mali's Sikasso administrative region, adjacent to the borderline with Guinea and astir 126km from Bamako.

In March this year, the institution initiated operation works astatine the Kobada Gold Project.

"Toubani secures $208m successful backing for Kobada Gold Mine development" was primitively created and published by Mining Technology, a GlobalData owned brand.