A recent article on Stockhouse Editorials highlighted Asante Gold Corporation (CSE:ASE).
That success story occurred in Ghana’s “Golden Triangle”, a world famous gold mining district, centered around AngloGold Ashanti’s gigantic Obuasi Gold Mine. Now MacQuarrie is hunting more elephants in the Golden Triangle, this time at the helm of Asante Gold. While many larger mining companies view Ghana as a jurisdiction which has already been fully explored, Asante’s management disagrees.
While other mining companies have moved on to less-developed jurisdictions, MacQuarrie and Asante Gold have had no difficulty in finding and acquiring prospective properties in Ghana. With an abundance of skilled labour and gold mining infrastructure, Ghana provides a highly mining-friendly jurisdiction in which ASE can develop its land packages. To date; the Company currently has one development stage project, and four exploration stage projects.
Asante’s most advanced project is the Kubi Gold Mine, located immediately south of the Obuasi Mine, and 25 km east of Perseus Mining’s 6.6 million ounce Edikan Gold Mine. The Company is now completing the purchase of Kubi from Goknet Mining Company Limited. As compensation, Asante agreed to issue Goknet 7 million shares, and deliver 8,000 ounces of gold once the mine is put back into production. ASE also agreed to provide Goknet with a (renegotiated) 1% NSR on Kubi.
The Company negotiated this acquisition in August 2016, and then wasted no time in advancing the project. Earlier this month, Asante Gold was very pleased to announce a $19.5 million (CAD) joint venture between the Company and BXC Company Limited. BXC is a wholly owned subsidiary of Beijing Fuxing Xiao-Cheng Electronic Technology Stock Co. Ltd., a $600 million market cap company listed on the Shenzhen Stock Exchange.
Asante was also very pleased to add Bashir Ahmed to the Company’s management team, as its VP of Production and Development. Ahmed has over 30 years of experience in mine operations in Ghana, most notably as Mine Manager at the big Obuasi Mine itself. With more than 32 million ounces of gold already extracted from that mine, and with more than 25 million ounces of reserves (in various categories), Obuasi is one of the world’s largest gold mines.
With this combination of operational expertise and familiarity with Ghana’s geology, Asante Gold is well-positioned to capitalize on the robust exploration and development opportunities which are still available in this African nation’s gold mining industry. Asante Gold continues its hunt for the next “Obuasi” in the Golden Triangle, providing investors with the opportunity to buy into this Ghana growth story while still at an early stage of development.