By: Energy capital & power

Fortuna Mining has filed an application for an exploitation permit for the Diamba Sud Gold Project with Senegal’s Ministry of Energy, Petroleum and Mines. The exploitation permit is a critical step in moving Diamba Sud from development toward production, with potential construction decision targeted for mid-2026. Fortuna is advancing early works, such as site preparation and detailed engineering, to reduce risks ahead of a feasibility study. Capital required to start operations was estimated at roughly $283 million, with a short capital payback period of about 10 months. 

Progress on the permit shows global miners that Senegal’s mining framework is delivering predictable regulatory outcomes, reducing political and operational risks often linked to emerging mining markets. For investors eyeing Senegalese gold amid a price surge, the application signals that the feasibility study and construction timeline remains on track.

Diamba Sud Project’s Economics

Diamba Sud’s Preliminary Economic Assessment (PEA), completed in October 2025, forecasts an average annual gold output of about 147,000 ounces over an 8-year mine life. A figure that could rise following the release of the final Mineral Reserve estimate by the end of February 2026. “With continued exploration success, we expect to extend Diamba Sud’s mine life beyond a decade,” said Fortuna CEO Jorge Ganoza.

The PEA also showed strong financial results. At a long-term gold price of $2,750 per ounce, the project shows an after-tax internal rate of return (IRR) of 72 % and a net present value (NPV 5%) of $563 million. For Fortuna, the project’s strong NPV and high IRR could unlock additional financing, while highlighting Senegal’s economic potential for new gold investments.

Towards a Gold Rush in Senegal

Prior to Diamba Sud, Senegal’s only industrial gold mines were Endeavour Mining’s Sabodala-Massawa mine, Managem’s Boto and Resolute Mining’s Mako mine. However, with the gold price now hitting the $5,000 mark, it is expected that other ventures will emerge.

Junior miner Thor Explorations is seeking $254 million to build a new gold mine at its Douta Project. With completion expected in 2028, the project holds a total resource base of 1.78 million ounces of gold and has an NPV of $633 million. Additionally, Bishop Resources’ Makabingui Project hosts a Mineral Resource of around 1 million ounces of gold at average grades above 2.6 g/t, with an NPV of $383 million. The company is seeking investors to complete its processing plant and aims to start operations by 2026.

To fund gold projects, Senegal could leverage its oil and gas revenue’s, with part managed by its national investment fund, FONSIS, creating a powerful synergy. Linking energy and mineral sectors could accelerate development and help the country regain full sovereignty over its extractive industries, making it an even more attractive destination for foreign investors.