How Predictive Discovery’s Bankan DFS Sets the Stage for a $1.6bn Gold Boom

Definitive Feasibility Study Validates Scale and Economics

Predictive Discovery Limited (ASX – PDI) has delivered a significant milestone for its Bankan Gold Project in Guinea, West Africa, with the release of a Definitive Feasibility Study (DFS) during the June 2025 quarter. The DFS confirms a large-scale operation with a life-of-mine average production of approximately 250,000 ounces of gold annually over 12.2 years, totaling 3.03 million ounces. This production is supported by a mill feed of 54.5 million tonnes grading 1.86 grams per tonne, containing 3.26 million ounces of gold.

Financially, the project stands out with a post-tax net present value (NPV) at a 5% discount rate of US$1.6 billion (A$2.5 billion) based on a conservative gold price of US$2,400 per ounce. The internal rate of return (IRR) is an impressive 46%, with a payback period of less than two years. These metrics improve markedly at current spot gold prices near US$3,300 per ounce, where the NPV rises to US$2.9 billion and the IRR to 73%, with payback just over one year.

Resource Expansion and Exploration Highlights

Alongside the DFS, Predictive Discovery announced maiden Mineral Resource estimates for the Fouwagbe and Sounsoun deposits within the Argo area, adding 153,000 ounces of inferred gold resources. Fouwagbe hosts 2.2 million tonnes at 1.68 g/t for 119,000 ounces, while Sounsoun contains 0.9 million tonnes at 1.19 g/t for 34,000 ounces. These additions increase the overall Bankan Project Mineral Resource to 103.6 million tonnes at 1.66 g/t for 5.53 million ounces, reinforcing the project's status as the largest gold discovery in West Africa in a decade.

Exploration drilling at Sounsoun’s southwest target area yielded strong intercepts, including high-grade zones such as 26 meters at 6.74 g/t gold. However, regional exploration activities are temporarily paused pending clarification of the status of the Argo and Bokoro exploration permits, which were unexpectedly revoked by Guinea’s Ministry of Mines and Geology in May 2025. Predictive Discovery is actively engaging with government authorities to resolve this issue.

Permitting and Sustainability Progress

Permitting advances remain a key focus, with the Exploitation Permit application progressing through the final stages of Guinea’s regulatory process. The National Mining Commission has recently recommended granting the permit, a critical step toward project development. Environmental and social management plans are under development, supported by ongoing biodiversity surveys and community engagement initiatives, including education support and plans to install new water bores to improve local access to clean water.

Financial Position and Next Steps

Predictive Discovery maintains a strong balance sheet with A$69.1 million in cash and no debt as of 30 June 2025, fully funding the company through to a final investment decision targeted for the second quarter of 2026. The company plans to commence construction in mid-2026, aiming for commercial production by 2028. Upcoming activities include securing the Exploitation Permit, initiating project financing, and advancing execution readiness with engineering and contracting preparations.

While the DFS and resource growth underpin a compelling investment case, the uncertainty around exploration permit status and the reliance on inferred resources for a portion of the production profile introduce elements of risk that investors will watch closely.