African Gold Accelerates Côte d’Ivoire Growth with Montage Deal and High-Grade Drilling
African Gold Limited has agreed to a transformative Scheme of Arrangement with Montage Gold Corp, offering shareholders exposure to a larger gold development platform, while drilling results at Didievi reinforce the project’s growth potential.
- Scheme of Arrangement with Montage Gold agreed, offering shareholder value and exposure
- High-grade gold intersections extend Blaffo Guetto deposit beyond current resource estimate
- Metallurgical tests confirm ore suitability for conventional processing, reducing development risk
- Ownership increased to 80% in Kouroufaba Gold Limited, consolidating key Côte d’Ivoire permits
- Strong cash position bolstered by Montage share sale and option exercises
Transformative Corporate Move
African Gold Limited (ASX, A1G) has taken a significant step forward in its Côte d’Ivoire gold ambitions by agreeing to a Scheme of Arrangement with Canadian-listed Montage Gold Corp. This deal will see Montage acquire the remaining shares in African Gold, providing shareholders with an opportunity to participate in a larger, well-capitalised gold development platform focused on Côte d’Ivoire. The arrangement also includes a parallel option scheme to align African Gold’s options with Montage’s, ensuring continuity for investors.
Exploration Success at Didievi
On the exploration front, African Gold’s flagship Didievi Project continues to impress. Drilling at the Blaffo Guetto deposit has returned multiple high-grade gold intersections well beyond the current Mineral Resource Estimate (MRE) of 989,000 ounces at 2.5 grams per tonne. Notable intercepts include 13 metres at 9.5 g/t gold and 7.2 metres at 13.1 g/t gold, underscoring the deposit’s scale and growth potential. These results support the prospect of future open-pit mining and add momentum to ongoing drilling programs.
De-risking Development with Metallurgical Insights
Complementing the drilling success, metallurgical test work has confirmed that the ore is non-refractory and amenable to conventional Carbon-in-Leach (CIL) processing. This finding materially reduces the technical risk associated with processing and development, providing greater confidence in project economics and timelines.
Strategic Consolidation and Pipeline Expansion
In a strategic move, African Gold exercised its option to increase its stake to 80% in Kouroufaba Gold Limited, gaining operational control over key permits including Didievi, Konahiri North and South, and Koyekro. This consolidation creates a dominant exploration footprint of approximately 1,428 square kilometres in Côte d’Ivoire. At Konahiri, auger drilling is advancing multiple gold-in-soil targets within a significant 5-kilometre anomaly, setting the stage for a maiden diamond drilling campaign aimed at uncovering high-grade lode-style mineralisation.
Robust Financial Position
Financially, African Gold strengthened its cash reserves during the quarter, receiving approximately C$13.62 million from the sale of Montage shares and A$1.57 million from option exercises. The company ended the quarter with a healthy cash balance of A$15.45 million, supporting ongoing exploration and corporate activities. Exploration expenditure for the quarter was A$1.45 million, primarily directed towards drilling and geological assessments.
Looking Ahead
With drilling programs accelerating into 2026 and the Scheme of Arrangement progressing on schedule, African Gold is well positioned to unlock further value from its Côte d’Ivoire assets. The combination of robust exploration results, strategic consolidation, and a strengthened financial position sets a promising stage for the company’s next chapter under the Montage umbrella.
Bottom Line?
African Gold’s strategic merger and exploration momentum position it for a pivotal 2026 in Côte d’Ivoire gold development.
Questions in the middle?
- How will the Scheme of Arrangement impact African Gold’s valuation and shareholder returns?
- What are the timelines and milestones for the expanded drilling programs at Didievi and Konahiri?
- How might the confirmed metallurgical profile influence project development costs and schedules?
