West African banks show appetite to provide $60 million debt for Cora Gold’s Mali project

Cora Gold Ltd (AIM:CORA, FRA:C0J), the gold exploration and development company, said some West African-focused banks are inclined to provide $60 million of traditional senior debt for its Sanankoro gold project in Mali.

The company said it expects to formalise one or more of these opportunities in due course.

Cora and its largest shareholder, Eagle Eye Asset Holdings, which holds 29.9%, have agreed to extend the period during which Cora may replace 50% of the $120 million gold stream announced in April with senior debt.

The revised deadline is now the later of 30 October 2027 or six months after Sanankoro’s mining permit is granted, extended from the previous deadline of 15 December 2026.

Cavendish, Cora’s broker, said in a research note that replacing part of the stream with debt would allow the company to optimise its financing structure for Sanankoro’s construction while retaining a fully funded construction solution.

Cavendish also said the first interim renewal of the Sanankoro II exploration permit marked further progress towards consolidating the project’s mining infrastructure under a single permit.

Eagle Eye is entitled to purchase 30.44% of Sanankoro’s life-of-mine gold production at 20% of the prevailing spot price, a proportion that would fall to 15.22% if half the stream is replaced with debt.