Can West African Resources Sustain a 569,000-Ounce Gold Peak in 2029?
West African Resources Limited has unveiled an updated 10-year gold production plan, projecting a peak output of 569,000 ounces in 2029 supported by 12.2 million ounces in Mineral Resources and 6.5 million ounces in Ore Reserves.
- 10-year production target averaging 480,000 oz annually
- Peak gold production of 569,000 oz forecast for 2029
- Mineral Resources total 12.2 million ounces; Ore Reserves at 6.5 million ounces
- Kiaka construction completed ahead of schedule and under budget
- Extensive exploration drilling planned to extend mine life and resources
Robust Growth Outlook for West African Resources
West African Resources Limited (ASX, WAF) has released a comprehensive update on its Mineral Resources, Ore Reserves, and production outlook for its gold operations in Burkina Faso. The company’s 2025 update highlights a strong decade ahead, with a 10-year production target averaging 480,000 ounces of gold annually from 2025 to 2034, and a production peak of 569,000 ounces projected in 2029.
Backing this ambitious production schedule are substantial Mineral Resources of 12.2 million ounces and Ore Reserves of 6.5 million ounces as of December 2024. These figures underscore the scale and potential longevity of West African’s Sanbrado and Kiaka gold projects, which remain central to the company’s growth strategy.
Operational Highlights and Mine Life Extensions
The Kiaka Gold Operation has successfully completed construction ahead of schedule and under budget, with open pit mining operations now stable and ramping up as planned. The processing plant is progressing smoothly towards full operational capacity, supporting an average annual production of 248,000 ounces from 2026 onwards.
Meanwhile, the Sanbrado Gold Operations are set for a 15% production increase, averaging 243,000 ounces per annum over the next decade, with mine life extended to 2035. Notably, secondary crushing installations are planned at Kiaka in 2028 and Sanbrado in 2029 to maintain throughput levels as ore feed transitions to fresher rock, reflecting proactive operational enhancements.
Exploration and Resource Growth Potential
West African is aggressively pursuing resource growth through an extensive exploration program exceeding 200,000 meters of drilling planned for 2025 and 2026. Key focus areas include underground extensions at M5 South, M5 North, Toega, and M1 South, with the potential to significantly extend mine life beyond current plans.
The company’s Executive Chairman and CEO, Richard Hyde, emphasized the sustainability of the business model, stating that the updated production plan demonstrates a robust future for West African Resources and its stakeholders in Burkina Faso. The inclusion of inferred mineral resources in the production targets introduces some geological uncertainty, but ongoing drilling and feasibility studies aim to convert these into higher confidence categories.
Environmental and Regulatory Compliance
West African continues to maintain compliance with environmental and social governance standards, with all necessary permits and approvals in place for its operations. The company has also submitted production modification plans to the Burkina Faso government, reflecting its commitment to responsible mining practices and community engagement.
Capital expenditure plans include investments in infrastructure upgrades, such as grid power connections projected to reduce operating costs significantly, and the installation of secondary crushing facilities to optimize processing efficiency.
Bottom Line?
As West African Resources advances its exploration and operational upgrades, the market will be watching closely to see if the company can convert its resource potential into sustained production growth beyond 2034.
Questions in the middle?
- How will ongoing drilling impact the conversion of inferred resources to indicated or measured categories?
- What are the risks and timelines associated with the planned secondary crushing installations?
- How might fluctuations in gold prices affect the economic viability of the extended mine plans?
