Hummingbird Resources, an Africa-focused gold miner, has announced a decline in its net gold reserves and resources after conducting updated estimates at its mines.
According to the company, its reserves now amount to 4.03 million ounces of gold, while its resources stand at 6.95 million ounces. This reflects a net decrease of 98,000 ounces and 327,000 ounces, respectively.
The drop in reserves and resources was primarily driven by a decline at the Yanfolila mine in Mali. Estimates for this site decreased by 18% and 17%, resulting in new figures of 593,000 ounces for reserves and 1.71 million ounces for resources.
On the other hand, the Kouroussa mine in Guinea saw an increase of 4% and 2% in estimated reserves and resources, bringing them to 676,000 ounces and 1.23 million ounces, respectively.
Estimates for the Dugbe mine in Liberia remained unchanged.
Hummingbird Resources remains optimistic about the potential of its asset base. The company is currently developing exploration plans, particularly at the Kouroussa mine, with the goal of increasing reserves to 1.0 million ounces and extending the mine's lifespan to over ten years.
Understanding Mineral Resources and Reserves
It's important to differentiate between mineral resources and mineral reserves. The former refers to a potential deposit that has been identified and measured, while the latter represents a subgroup within the resource that has a known size and can be extracted for profit.