Canada’s Fortuna Mining has received new drilling results from the Diamba Sud project in Senegal. Hole DSR1149 in the Southern Arc zone intersected 40.8 meters grading 3.9 grams of gold per tonne, confirming the continuation of ore bodies at depth. The company expects this asset to help raise annual production to 500,000 gold equivalent ounces by 2028.
In addition to DSR1149, hole DSDD699 in the same zone returned 12 meters at 6.8 grams of gold from a depth of 96 meters. Other results include DSR1132 with 20 meters at 4.5 grams and DSR1128 with 12.8 meters at 7.8 grams.
National Bank Financial analyst Mohamed Sidibe noted that the data supports reserve growth near the pit, while parallel structures to the southeast remain untested. Fortuna plans to incorporate the Southern Arc results into its year-end resource and reserve statement and to drill additional exploration holes in 2027.
Since February, the company has drilled 196 holes totaling 36,592 meters in Southern Arc. The program has identified extensions of mineralization both along strike and at depth.
At the neighboring Bambadji sites, drilling has begun at Kabewest, the largest and most advanced target in the area. Assays are still pending. Six drill rigs are deployed as part of an $8 million campaign running through the end of 2026. Kabewest is located 2.3 kilometers from the planned Diamba Sud plant site. Geologists noted that core samples resemble the breccia mineralization at Diamba Sud.
According to the April 2026 estimate, Diamba Sud’s probable reserves stand at 20.5 million tonnes of ore at an average grade of 1.75 grams of gold, containing 1.15 million ounces of metal.
Production is slated to start in the second quarter of 2028. The company expects to make a final investment decision this quarter, while negotiations with Senegal on a tax stability agreement are at the final stage.
According to the feasibility study, at a 5% discount rate and a gold price of $3,500 per ounce, the project’s after-tax net present value is estimated at $1 billion, with an internal rate of return of 60% and a payback period of one year.
Diamba Sud is becoming Fortuna’s key growth project. If the company meets its timeline and secures tax stability, the Senegalese asset will make a substantial contribution to reaching the 500,000-ounce target by 2028.
Source: Canadian Mining Journal
Image: Fortuna Mining
