Randgold Resources to extend life of Ivory Coast gold mine

Randgold Resources is seeking to extend the operation life of its Tongon gold mine in the Côte d'lvoire beyond its four-year lifespan.

The move comes after the FTSE 100 miner conducted a review of its Nielle permit that hosts the Tongon, which confirmed multiple opportunities for extending the life of the operation at the mine.

Near-mine targets with high resource potential are the main focus of the exploration programme at Tongon, while the company’s is also building a permit portfolio in order to find its next big discovery in the Côte d'Ivoire.

Chief executive Mark Bristow said on Sunday: "Tongon was born in the midst of a political crisis in Côte d'Ivoire and has since had to overcome many challenges, of an external as well as an operational nature. The team has persevered, however, and ended 2016 with a gold production record for the fourth quarter of the year.

“Building on that base, with a strong emphasis on costs as well as maximising the benefits of its plant upgrades and expansion, Tongon is on track to achieve its production guidance of 285,000 ounces of gold for 2017.”

Randgold bought the Nielle permit in 1996 and he pre-feasibility study on Tongon was completed in 2001 but plans to develop the mine had to be put on hold with the outbreak of civil war the following year and work resumed in 2007. The mine was commissioned in 2010.

Bristow said: "The past year has again been a difficult one as Côte d'Ivoire met further challenges in its nation-building process. These included a wave of strikes and protest actions which impacted negatively on civil society, the economy and the mining industry. As evidenced by our continuing investment here, however, our belief in the country and in its people's ability to work through these difficulties remains unshaken.”