Canadian miner Newcore Gold said Friday it will accelerate exploration at its Enchi Gold Project in western Ghana, increasing its drilling program following new funding and encouraging early results.
In a March 12 statement, the company said it will expand its ongoing campaign from 45,000 meters of drilling to 60,000 meters, aiming to discover additional deposits and grow the project’s existing resource base. The decision follows a successful fundraising round of 10 million Canadian dollars (around US$7.3 million), strengthening the company’s cash position for continued exploration and development activities.
Luke Alexander, president of Newcore Gold, said the company is “excited to be in a strong cash position to continue to advance the development of our Enchi Gold Project while unlocking the district scale potential through the drill bit.” He added that the company anticipates a busy year of both exploration and project development at Enchi.
The Enchi project currently hosts 743,500 ounces of indicated mineral resources and 972,000 ounces of inferred resources. With the expanded drilling program, Newcore aims to better define the resource and potentially increase overall reserves.
In addition to exploration, Newcore Gold is moving forward with plans for a future mine at the site. A prefeasibility study, expected by the end of June, will present the first economic indicators of the potential operation, including projected production levels, costs, and profitability metrics.
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Ghana, Africa’s top gold producer, has been attracting international mining investment as rising global gold prices support the development of new projects. Analysts say initiatives like Enchi could contribute to expanding the country’s mining sector while generating employment and economic activity in the region.
Newcore Gold’s Enchi project is part of the company’s broader strategy to develop high-quality gold assets in West Africa, with exploration and feasibility studies providing critical insights into the project’s long-term potential.
Officials said the accelerated program reflects confidence in the area’s geology, where prior drilling has identified promising mineralization patterns. The company plans to focus on both expanding existing deposits and exploring new targets within the project’s concession area.
Investors and stakeholders will be watching the results of the prefeasibility study, which is expected to provide key data on the economics of a mine, including projected gold output and the potential return on investment.
The company said it remains committed to maintaining high standards of environmental and social responsibility in its operations, aligning with Ghana’s regulatory framework and community engagement requirements.
If successful, the expanded exploration at Enchi could strengthen Newcore Gold’s position in Ghana and support long-term development plans in a country that continues to attract mining investment due to its rich gold resources and relatively stable regulatory environment.
