PDI Gold finds depth to its Kiniéro growth story

Kiniéro drilling returns high-grade depth intercepts

PDI Gold Limited (ASX:PDI, TSX:PDI) has produced a useful combination of operating cash generation and exploration upside, reporting 52,866oz of combined gold poured in the September quarter while highlighting high-grade mineralisation beneath the Gobele and Jean deposits at its Kiniéro Gold Project in Guinea.

The strongest drilling results include 28.35 metres at 5.87 grams per tonne gold from 154.65 metres at Gobele, 16 metres at 7.55g/t from 144 metres in another Gobele hole, and 12.8 metres at 4.25g/t from 396.2 metres at Jean. A further Jean intersection returned 4.8 metres at 11.18g/t from 221.2 metres.

Exploration could extend the existing mine footprint

The results cover 51 holes and 14,671 metres, targeting sulphide and transitional mineralisation beneath existing oxide open-pit envelopes. PDI says the drilling has identified extensions and new higher-grade zones that could support an expansion of open-pit Mineral Resources or a maiden underground Mineral Resource.

That remains a possibility rather than an established resource outcome. The reported intervals are downhole lengths, and the company says true widths still require further structural interpretation. Its geological work also indicates that the veins form an interconnected system rather than discrete, continuous bodies, a feature it says supports continuity across the Gobele vein network.

Production and cash position provide exploration funding

Kiniéro carried most of the production load, milling 2.3 million tonnes at an average head grade of 0.69g/t and pouring 45,599oz, with recoveries of 88.3% and plant throughput maintained above the 1,095 tonnes-per-hour nameplate rate. Gold sales from Kiniéro were higher than poured production at 61,149oz during the quarter, reflecting the timing of shipments and sales.

Nampala in Mali contributed 7,267oz from 0.42 million tonnes milled at 0.63g/t. Its output was affected by access to additional ore while pit cutback work progressed. PDI finished the quarter with US$405 million of cash and bullion, including US$39.5 million of bullion and US$80 million of Sprott-related restricted cash. The company says the position supports its objective of financing Bankan through operating cash flows.

Drilling fleet expands ahead of 2027 campaign

PDI currently has seven diamond rigs and two reverse-circulation rigs operating at Kiniéro, with more RC capacity being mobilised. Further depth drilling at Gobele is planned during 2026, while near-mine oxide targets at Zone C, Banfara, West Balan and Farabana are also being tested or prepared for drilling.

The proposed 2027 programme is substantially larger: about 1,800 holes covering 140,000 metres across brownfields and greenfields targets. The scale signals an ambition to convert exploration into additional resources and mine-life opportunities, but the next value test will be whether the initial high-grade intersections demonstrate sufficient true width, continuity, metallurgy and economic relevance to influence mine planning.