Perseus Mining Ltd (ASX: PRU) shares are finishing the week on a positive note.
In morning trade, the ASX 200 gold share is up 2% to $4.29.
This is despite/follows the release of a big announcement this morning.
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What did the ASX 200 gold share announce?
This morning, the gold miner revealed that a presidential decree authorising the development and operation of the CMA underground project at its Yaoure Gold Mine in central Cote d'Ivoire has been granted by President Alassane Ouattara.
According to the release, the presidential decree was issued following the approval of an Environmental and Social Impact Assessment, and issuance of a Ministerial Arrete by the Minister of Environment, Sustainable Development and Ecological Transition in May this year.
It notes that these approvals, supported by the Minister of Mines, Petroleum and Energy, were critical pre-requisites for the commencement of the development phase of the CMA underground project.
What's next?
The ASX 200 gold share advised that infrastructure projects associated with the CMA underground mine development have been completed. As a result, development of the declines will now commence following the commissioning of the underground mining equipment by Perseus's specialist underground mining contractor, Byrnecut.
This is good news for shareholders as the establishment of the underground operation below the CMA Open Pit will extend the mine life of Yaoure until at least 2035. This is based on currently delineated mineral resource and ore reserves
In the meantime, the next major milestone for the CMA underground operation will be first ore production, which is planned for January 2026, with commercial production scheduled to be reached in March 2027.
Better late than never
Commenting on the news, the ASX 200 gold share's CEO and managing director, Jeff Quartermaine, said:
Receiving the Presidential Decree authorising the development of Côte d'Ivoire's first underground mine is a major milestone for Perseus, allowing us to immediately proceed with the cutting of portals and ultimately gaining access to further important ore sources for processing through the Yaouré processing facility.
While receipt of the formal authorisation comes later than originally planned, the delay has allowed us time to complete all infrastructure works required to support the operation as well as ensure that Byrnecut's underground equipment is available and commissioned ready for immediate commencement of mining operations. The US$170M to be invested by Perseus in the CMA underground mine marks a new phase in our partnership with the Government of Côte d'Ivoire in expanding its thriving mining industry.
