Asara Resources Grows Kada Gold Resource to 2.1Moz with Funded DFS Pathway

Resource Surge Anchors Kada’s Growth

Asara Resources (ASX:AS1) has announced a significant upgrade to its flagship Kada Gold Project in Guinea, with the total Mineral Resource Estimate (MRE) now at 2.1 million ounces of gold. This includes a robust 1.3 million ounces in the indicated category, underpinning the company’s planned Definitive Feasibility Study (DFS) targeted for completion in the second quarter of 2027. The resource more than doubled from the maiden 0.92Moz reported in October 2023, driven by an intensive 73,000-metre drilling campaign completed over 12 months.

The Massan deposit remains the heart of the project, hosting the majority of ounces and demonstrating strong continuity and flexibility. Indicated ounces show resilience across a range of cut-off grades, retaining approximately 86% of ounces between 0.2 and 0.5 g/t Au, signalling potential for selective mining strategies. The deposit’s broad stockwork system, low strip ratio, and deep free-digging oxide profile support an open-pit mining approach with high recovery rates exceeding 95% for oxide material.

Fully Funded Pathway to DFS Completion

Asara’s balance sheet is solid, with a pro-forma cash position of A$53 million and zero debt, providing a fully funded runway through DFS completion, new camp upgrades, and ongoing drilling campaigns. The company’s capital structure is supported by a strong institutional register including BlackRock, Franklin Templeton, and Ruffer, reflecting confidence in the project’s potential.

The DFS technical workstreams are underway, with key consultants engaged across processing plant engineering, environmental sustainability, and mining geotechnical studies. The DFS aims to deliver a comprehensive development plan by mid-2027, paving the way for a Final Investment Decision and fast-tracked construction.

District-Scale Consolidation and Exploration Upside

The Kada Gold Project’s footprint has expanded to 593 square kilometres, covering more than 35 kilometres of the Siguiri Mineralised Trend, a prolific gold corridor that accounts for approximately 12% of West Africa’s gold production. Recent acquisitions, including the Damissa Koura and Kankan West permits, complement the core Massan and Bereko deposits, which remain open along strike and at depth.

Exploration upside remains considerable, with nearly 95% of the portfolio undrilled. Multiple satellite targets, such as the historically drilled Sogosogoba prospect by Newmont, are drill-ready, with maiden drilling planned for late 2026. The company’s auger sampling has extended gold anomalism beyond historical drilling, defining continuous corridors of mineralisation ripe for follow-up.

Leadership with Proven West African Expertise

The Asara team brings a track record of delivering gold projects in Guinea, notably transforming the Kiniero Gold Mine from dormancy to production in five years. CEO Matthew Sharples, who co-founded Sycamore Mining and grew Kiniero’s resource base before its US$160 million sale, leads the company alongside Managing Director Matthew Montgomery and a board with deep African mining experience.

The leadership’s local knowledge and systematic drilling approach have been critical in executing the recent resource expansion and advancing the project’s development. The company also emphasises strong environmental, social, and governance (ESG) practices, with a 100% Guinean workforce and ongoing community investment projects to support sustainable development.

Non-Core South American Assets Divested

While focused on Kada, Asara is streamlining its portfolio by divesting or partnering on non-core South American copper assets. The Loreto Copper Project in Chile is under a joint venture with Teck Resources, which can earn up to 75% through exploration expenditure commitments. Meanwhile, the Paguanta Copper and Silver-Lead-Zinc Project has been signed for divestment to Ajax Resources, with milestone payments providing retained upside.