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Highlights

  • Predictive Discovery shares dropped 22% in early trade to 34 cents following permit revocations in Guinea.

  • Guinea’s Ministry of Mines and Geology revoked over 100 exploration permits, including PDI’s Argo and Bokoro licenses.

  • The core permits of the Bankan Gold Project, containing the bulk of the company’s resources, remain unaffected.

Shares of Predictive Discovery Ltd (ASX:PDI) plummeted by 22% in morning trade on Wednesday, falling to 34 cents, after the company disclosed a major setback in its Guinean operations. The decline follows news that Guinea's Ministry of Mines and Geology (MMG) has revoked more than 100 exploration permits, including Predictive Discovery’s Argo and Bokoro licenses.

The decision marks a significant blow to the ASX-listed gold explorer, which had previously highlighted the potential of these permits, particularly Argo, situated 15–20 km north of the company’s flagship North East Bankan (NEB) discovery. The Argo tenement lies along a key gold-bearing structural corridor on the western margin of the Siguiri Basin, a region known for its mineral richness.

Drilling commenced at Argo in mid-2023, and the company reported strong early results from several targets identified across three anomalous auger trends. The Bokoro permit, which spans 356 square kilometres, forms part of the broader Bankan licence area.

In its announcement, Predictive Discovery stated that it had not yet received any formal notification from the Guinean government regarding the revocation but intends to appeal the decision in accordance with the country’s Mining Code.

The company confirmed that the Kaninko and Saman permits, which are part of the Bankan Gold Project exploitation permit application, have not been affected. These two permits contain 5.38 million ounces of the company’s total 5.53 million ounce gold Mineral Resource and are seen as critical to the company's future.

The Bankan Gold Project has been touted by Predictive Discovery as a potential Tier-1 gold asset, given its scale and geological profile.