Asara Logs 2.1Moz Gold Resource at Kada as Indicated Ounces Jump Sixfold to 1.3Moz
Key Takeaways
- Asara's Kada Gold Project MRE has grown 125% to 92.9Mt at 0.70g/t Au for 2.08Moz, adding 1.16Moz of contained gold since the 2023 estimate.
- Indicated Resources surged more than sixfold from 0.22Moz to 1.27Moz, now representing 61% of total contained gold — the confidence threshold required to advance a Definitive Feasibility Study.
- On a like-for-like cut-off basis (0.50g/t Au), the resource still grew 92% to 1.77Moz, confirming the upgrade is not simply a function of the lower cut-off grade applied.
- Oxide mineralisation at Massan totals 0.73Moz Indicated at 0.81g/t Au, with metallurgical testwork showing gold recoveries up to 97.4% — a processing advantage that directly supports project economics.
- The DFS is targeted for completion by end-Q2 2027, with specialist studies and environmental workstreams commencing September 2026, and six drill-ready satellite targets yet to be systematically tested.
Asara’s Kada gold resource jumps 125% to 2.1 million ounces
Asara Resources (ASX: AS1) has delivered an updated interim Mineral Resource Estimate (MRE) for the Kada Gold Project in Guinea, West Africa. The new total stands at 92.9Mt at 0.70g/t Au for 2.08Moz of contained gold, an increase of 1.16Moz (125%) over the 2023 estimate.
The standout development is the composition shift. Indicated Resources grew more than sixfold to 1.27Moz, now representing 61% of total contained gold (up from 24% previously). This underpins the Definitive Feasibility Study (DFS) targeted for end-Q2 2027. One critical detail: the 2023 estimate was reported at a 0.50g/t Au cut-off; the updated MRE uses a 0.32g/t Au cut-off. At the 2023 cut-off of 0.5g/t, the updated estimate contains 1.77Moz, a 92% increase on a like-for-like basis.
The numbers behind the upgrade
The resource statement breaks down as follows:
| Deposit | Classification | Tonnes (Mt) | Grade (g/t Au) | Contained Gold (Moz) |
|---|---|---|---|---|
| Massan | Indicated | 51.37 | 0.77 | 1.27 |
| Massan | Inferred | 39.87 | 0.60 | 0.77 |
| Massan | Total | 91.23 | 0.70 | 2.04 |
| Bereko | Inferred | 1.65 | 0.81 | 0.04 |
| Kada Project | Total | 92.88 | 0.70 | 2.08 |
Key drivers behind the growth:
- 81,361m of drilling completed at Massan since the 2023 estimate (72,648m returned assays incorporated into this MRE).
- A single year-long campaign that peaked with six rigs, doubling total Project drilling metres.
- New high-grade lodes discovered along strike and at depth.
- Updated inputs: 2026 TECT litho-structural model, revised bulk densities, and a US$3,500/oz gold price assumption (up from US$1,800/oz in 2023).
The additional 1.16Moz was found at a discovery cost of just A$12.5/oz, exceptional capital efficiency by any measure.
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Why the Indicated upgrade matters more than the headline ounces
Composition matters as much as size. Indicated Resources rose from 0.22Moz to 1.27Moz (sixfold), now 61% of total gold versus 24% previously. This upgrade was achieved under tightened classification criteria: 35m x 35m drill spacing versus 50m x 50m in 2023.
The oxide angle adds another layer. Indicated oxide mineralisation at Massan totals 28.27Mt at 0.81g/t Au for 0.73Moz, 57% of Massan’s total contained gold. Oxide ore is typically cheaper and simpler to process (see educational section below).
Matthew Sharples, MD & CEO
“Composition matters as much as size. Indicated Resources have grown more than sixfold to 1.3Moz, exactly as planned, as we now have a base robust enough to underpin a Definitive Feasibility Study… We’re well ahead of schedule, not behind it.”
Understanding Mineral Resource classifications (and why oxide gold counts)
Indicated vs Inferred
Mineral Resources are reported in three confidence categories. Inferred is the lowest-confidence category (wider drill spacing, limited geological understanding). Indicated is higher confidence (tighter drilling, more reliable structural interpretation) and is required before a company can run a feasibility study. Converting Inferred to Indicated de-risks a project by improving the reliability of the tonnage and grade estimates used for mine planning.
Why oxide mineralisation is a plus
Oxide mineralisation refers to near-surface, weathered ore that has undergone chemical alteration. It is generally softer, cheaper to mine (requires less blasting), and easier to process via conventional cyanide leaching. At Kada, metallurgical testwork showed gold extractions up to 97.4% for laterite and 94.8% for saprolite (both oxide material types), compared to 88.3% for fresh rock. Higher recoveries and lower processing costs translate directly into better margins, all else equal.
A district with room to run
This is just the beginning. 95% of drilling to date has been concentrated at Massan. The broader portfolio is largely untested.
Exploration pipeline:
- Six drill-ready satellite targets within 5–15km of Massan.
- Eight auger targets flagged from geochemical sampling.
- Drilling ongoing at Massan (two RC rigs and one diamond rig) targeting further extensions.
- Bereko (10km north of Massan) is a drill-ready FY2027 target. Its resource more than doubled to 0.04Moz with no new drilling, purely from updated modelling inputs.
The Inferred fresh-rock zone beneath the central Indicated Resource (32.2Mt at 0.61g/t Au for 0.63Moz) is a clear future infill target. Tighter drill spacing here could convert additional material to Indicated classification.
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The road to the DFS
The strategic roadmap is now locked in:
- DFS fieldwork already underway; specialist studies commence September 2026.
- Environmental baseline and ESIA workstreams also commencing September 2026.
- Continued aggressive drilling at Massan for further growth and Inferred-to-Indicated conversion.
- Satellite target drilling to run in parallel with DFS workstreams.
- Kada DFS targeted for completion by end-Q2 2027.
Under the Earn-in and Joint Venture Agreement, Asara holds 51% of the Kada project and has exercised its right to earn a further 24% (to 75%), conditional on funding completion of the DFS. Resource figures are reported on a 100% gross project basis. Management has flagged “exciting DFS NPV news out of the Kada Project soon”, though this remains an expectation rather than a confirmed outcome.
One final point for context: Mineral Resources are not Ore Reserves and have not demonstrated economic viability. There is no certainty that all or any part of the estimated Mineral Resources will be converted into Ore Reserves. The current estimate provides the geological foundation for further technical and economic assessment.
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