Bassari Resources (ASX:BSR) has received the final approval from the Coris Bank International with regards to a credit facility of US$13M to build the Makabingui gold project in Senegal. This is a first step to develop the property which has a total gold resource of approximately 1 million ounces at an average grade of 2.6 g/t. This could be just the start, as Bassari has identified a few additional targets that could add a few hundred thousand ounces to the total resources.
What makes this project really interesting is the high-grade starter pit. Makabingui hosts a zone of almost a million tonnes with an average grade of 5.7 g/t gold, putting the total size of the starter pit resource at approximately 174,000 ounces of gold. Low hanging fruit, indeed, and it will allow Bassari to quickly generate a substantial amount of (free) cash flow, which could help the company to advance the other properties in its portfolio.