Hummingbird Resources to boost Dugbe gold project in Liberia
Hummingbird Resources has announced plans to advance the Dugbe gold project in Liberia. The move according to the firm will be implemented through securing up to $32.7 million in total gross proceeds.
Plans
The firm intends to sell newly issued shares at a price of 11.2625 pence each to reach its fundraising goal. This includes an additional conditional subscription of $2 million from new shareholders and an open offer to existing shareholders to raise up to $5 million.
The gold producer is transforming its 51% interest in the Dugbe gold project into a controlling 51% shareholding in Pasofino Gold Limited. This move is aimed at simplifying the ownership structure for more efficient decision-making and project progression.
The company has faced challenges in ramping up operations at its Kouroussa mine in Guinea, experiencing lower mining productivity rates than expected. Hummingbird is actively working with key contractors and adding mining fleet capacity to achieve commercial production for a full year in 2024. Despite challenges, Hummingbird expects to produce approximately 200,000 ounces of gold in fiscal year 2024.
Detailed production and all-in sustaining cost (AISC) guidance for fiscal year 2024 will be provided, along with an operational and trading update at the end of January.
