Why did Toubani Resources (ASX:TRE) hold back its Kobada resource update for footwall drilling?

Sonal Goyal

12 November 2026 06:01 PM AEDT

Why did Toubani Resources (ASX:TRE) hold back its Kobada resource update for footwall drilling?

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Key Highlights

Four reverse circulation holes tested the footwall contact at Kobada Main in southern Mali.
Hole KBRC26_VT004 returned 55 metres at 3.3g/t gold from 138 metres, including 7 metres at 5.93g/t.
An updated mineral resource estimate is due within weeks, ahead of an updated ore reserve estimate in early January 2027.
Gosso, about 5 kilometres from the plant, is a second source of supplementary ore.

Toubani Resources (ASX:TRE) reported results from final resource delineation drilling at the Kobada Main deposit of its Kobada Gold Project in southern Mali on 5 November 2026. Four reverse circulation holes tested the footwall contact, designed by the company's independent resource consultants as part of the planned resource update.

Hole KBRC26_VT004 returned 55 metres at 3.3 grams per tonne gold from 138 metres, including 7 metres at 5.93g/t and 2 metres at 26.8g/t. Deeper in the same hole, it intersected 23 metres at 3.83g/t from 200 metres and 19 metres at 4.52g/t from 231 metres. Hole KBRC26_VT003 returned 50 metres at 1.16g/t from 159 metres.

Why the footwall matters

Toubani says the footwall intervals are thicker at depth than the current geological interpretation allows. The company expects the new data to raise confidence in the model for the top 100 metres and potentially add resources between 100 and 200 metres below surface.

Managing Director Phil Russo said the footwall results justified holding back the estimate, describing the zones as more coherent and higher grade than anticipated. He said they provided new data and targets for the next phase of deep drilling.

All four holes will be included in the estimate. The intervals are downhole lengths, and true widths will be calculated during resource estimation.

The existing resource

Kobada hosts 2.2 million ounces of indicated and inferred resources, across 78 million tonnes at 0.88g/t gold, over 4.5 kilometres of strike. The deposit is large and relatively low grade, which makes Mining cost and recovery central to its economics.

The higher-grade footwall zones, if confirmed, could improve the grade of early mining if they fall within planned pits.

The development timetable

Toubani expects to complete the updated mineral resource estimate within weeks. It will inform an updated ore reserve estimate and mine plan, both due in early January 2027, ahead of targeted mining commencement later that month. A processing plant is under construction at Kobada, and grade-control drilling was due to start later in November.

Satellite feed

At the Gosso deposit, about 5 kilometres from the plant, drilling has confirmed mineralisation over 2.8 kilometres of strike. Results include 5 metres at 13.8g/t from 47 metres, including 2 metres at 32.3g/t, in hole GORC26_004, and 1 metre at 38.6g/t from 40 metres in GORC26_055.

Gosso joins Foroko as a second source of supplementary ore. Toubani plans further drilling there after the Kobada update, ahead of a maiden Gosso resource in 2027.

Operating in Mali

Mali is one of Africa's largest gold producers, but its mining sector has faced significant changes, including a revised mining code, increased state participation and disputes between the government and some foreign miners. Security conditions in parts of the country also remain a concern. These factors can affect project timelines, costs and investor sentiment, and are relevant to any Mali-focused developer.

Qualifications

The footwall results come from four holes, and their effect on the resource will not be known until the estimate is complete. A mining start in January 2027 depends on plant construction, reserves and approvals proceeding as planned.

The Kobada plant represents a step change for Toubani, moving it from explorer to producer. The resource and reserve updates will set the base for mining. Mining is scheduled to begin in January 2027, leaving little time between the reserve update and first ore, so any delay to the estimate could flow through to the mining schedule.

What comes next

The updated resource is due within weeks, followed by the reserve and mine plan in early January and the start of mining later that month. Gosso drilling and deeper Kobada drilling will follow.

FAQs

Q: Why was the resource update held back?

A: Footwall drilling returned thicker, higher-grade zones than the current geological interpretation allowed, and the company says all four holes will be included in the estimate.

Q: What does the existing resource look like?

A: Kobada hosts 2.2 million ounces of indicated and inferred resources, across 78 million tonnes at 0.88g/t gold.

Q: When is mining due to start?

A: Targeted for later in January 2027, after the reserve update and mine plan in early January.

Q: Are the reported intervals true widths?

A: No. They are downhole lengths, and true widths will be calculated during resource estimation.

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