Canadian mining giant spends $200 million to acquire major Senegal gold project as West Africa's mining race heats up

Canadian precious metals producer Fortuna Mining has agreed to acquire the 190-square-kilometre Bambadji gold exploration project in Senegal from Barrick Mining and IAMGOLD for $200 million, expanding its footprint in one of West Africa's most prospective gold regions.

The acquisition gives Fortuna control of two properties covering about 190 square kilometres and extending across roughly 60 kilometres of prospective ground along the Senegal-Mali Shear Zone, a major gold corridor that hosts several large-scale mines.

Bambadji is located next to Fortuna's Diamba Sud Gold Project, which is at the feasibility stage and hosts mineral reserves containing about 1.15 million ounces of gold. Fortuna expects to make a final investment decision on Diamba Sud shortly.

The company said the Bambadji acquisition could provide additional exploration opportunities and potentially expand the Diamba Sud operation.

"The US$200 million consideration paid for the project reflects multiple prime drill-defined targets, the scale of the land package, the extensive historical exploration dataset, and the potential to materially expand Diamba Sud," Fortuna President and CEO Jorge A. Ganoza said.