Toubani Resources Starts Kobada Gold Tank Build as Q3 2027 First Gold Stays on Track
Key Takeaways
- CIL tank erection has started at Kobada, with first gold targeted for Q3 2027 and the project reported on schedule as of 6 October 2026.
- More than 70% of project costs are committed, and all long-lead mechanical items including the ball mill have shipped.
- About US$50 million of the US$160 million stream facility has been drawn, while a further working capital facility awaits finalisation with no terms disclosed.
- The Mineral Resource Estimate update, including Foroko drilling, is due in October 2026 and will shape the final pit design and 3-year mining schedule.
- Mill and crusher foundation concrete pours are scheduled for October 2026, followed by power plant commissioning in Q2 2027 and process plant commissioning in Q3 2027.
CIL tank erection underway as Kobada stays on schedule for Q3 2027 first gold
Toubani Resources (ASX: TRE) has confirmed that carbon-in-leach (CIL) tank erection has commenced at the Kobada Gold Project, and the company is targeting first gold in the third quarter of calendar year 2027. The update, dated 6 October 2026, says the project remains on schedule.
The supporting numbers are tangible. The project achieved 1,000,000 LTI-free man-hours during September (LTI means lost time injury), has over 900 personnel on site, and has more than 70% of project costs committed.
For investors, this matters because construction is now visibly physical rather than planned. Steel going up and tanks being built tend to reduce development-stage uncertainty, though delivery risk remains until commissioning.
Phil Russo, Managing Director
“Kobada is now firmly in full-scale construction. With CIL tank erection underway, all long-lead equipment including the ball mill shipped, nearly all procurement completed and over 900 people working safely on site, the Project has real momentum across every work front…”
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Construction progress across every work front
The announcement describes activity on engineering, shipping, earthworks, mining and operational readiness at the same time. Here is where each stands.
Engineering, procurement and shipping
- Process plant engineering is over 95% complete, with the last vendor’s data being incorporated into the final design.
- Power plant engineering is approaching 90% complete, with all long-lead items procured.
- Structural steel fabrication has reached 80% (900 tonnes) for the process plant and has been shipped, with the first containers now at the port of Abidjan.
- All long-lead mechanical items have shipped, including the ball mill.
- Electrical bulks, including all electrical cables, have shipped and will reach the port of Dakar shortly.
- Kobada’s Bergen power plant units have arrived in Bamako ahead of schedule and will be transported to site when required.
On-site works
Bulk earthworks are complete at the process plant and continuing at the Tailings Storage Facility (“TSF”), the area where processing waste is stored. The airstrip is nearing completion.
Preparation and formwork of the mill and crusher foundations are underway ahead of concrete pours scheduled for October 2026. All contractors have mobilised to site and are ramping up resources.
The mining contract has been awarded to Corica Mining Services S.A., which is already on site after undertaking the bulk earthworks and TSF construction. Mining is designated to commence in early 2027.
Beyond construction, key operational personnel have been appointed, including the General Manager – Kobada Gold Mine, and operational readiness activities are ramping up. The company also recently handed over new water infrastructure to surrounding communities.
Pathway to first gold: milestones and funding
The announcement lists a clear sequence of milestones leading to first gold. Each one gives you a checkpoint to measure progress against.
| Timing | Milestone |
|---|---|
| October 2026 | Mill and crusher foundation concrete pours, commencement of process plant structural steel erection |
| Q1 2027 | Delivery of process plant platework and electrical bulks to site, commencement of mechanical and electrical installation |
| Q2 2027 | Power plant installation and commissioning |
| Q3 2027 | Process plant commissioning |
| Q3 2027 | First gold |
On funding, approximately US$50 million from the US$160 million stream facility has been drawn and proceeds received. The company states that stream and equity funding is in place and being drawn in line with the construction schedule.
An additional facility to augment working capital is progressing, and the company anticipates finalising it shortly. No amount or terms were disclosed.
With more than 70% of costs committed and funding in place, cost-overrun and financing risk looks lower than at an earlier stage. Russo said that with funding in place and Kobada’s “simple, low-cost oxide ore,” the project is well positioned to generate strong margins in the current gold price environment. That is management’s view, not a guarantee.
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What is a CIL circuit and why the Mineral Resource Estimate matters
CIL tanks are where crushed and milled ore slurry is mixed with a leaching solution so the gold dissolves and is captured on carbon. That makes tank erection a core step towards commissioning.
Oxide ore, which is ore that has been weathered near the surface, is generally simpler to process than harder ore types. The announcement does not give recoveries or processing costs, so those remain unquantified.
The Mineral Resource Estimate (“MRE”) update, including the recent Foroko drilling, is on track for October 2026. It will inform the final pit design and the initial 3 years detailed mining schedule.
The MRE is the next near-term catalyst, though the announcement says nothing about what it will show. Upcoming items to watch:
- MRE release
- Mill and crusher foundation concrete pours
- Finalisation of the additional working capital facility
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