A New Gold Story in the West: How Endeavour Mining and Perseus Mining Are Expanding in West Africa – Could Kobo Resources Be the Next Gold Discovery?

How Endeavour Mining Is Defying Rising Costs

As a major player in West Africa, Endeavour Mining operates several projects in Côte d'Ivoire, Burkina Faso, and Senegal. In fiscal year 2025, Endeavour produced 1.21 million ounces of gold at all-in sustaining costs (AISC) of USD 1,433 per ounce, generating free cash flow of USD 1.16 billion. Operational momentum remained strong in the first half of 2026 as well, with production totaling 564,000 ounces. The realized gold price of USD 4,579 per ounce generated a record cash flow of USD 761 million for Endeavour in the first half of the year. However, higher government royalties and intensive overburden removal at the Houndé and Lafigué mines drove production costs up to USD 1,871 per ounce during this period. Nevertheless, management is targeting production of up to 1.27 million ounces of gold for the full year. At the Assafou project, Endeavour plans to build a USD 1.06 billion processing plant, which is expected to produce approximately 320,000 ounces of gold annually, starting no earlier than the end of 2028—and more realistically in 2029.

Perseus Mining Digs Deeper and Fills Its Coffers

Completely debt-free, mid-tier producer Perseus Mining is navigating the volatile market environment. As of the end of the second quarter of 2026, the Australian company's cash and gold reserves had piled up to over USD 1.03 billion. Nevertheless, operations at the open-pit mine are not running entirely smoothly. At the flagship Yaouré mine in Côte d'Ivoire, sequence changes and the processing of low-grade ore led to a temporary drop in production to around 32,000 ounces of gold per quarter at the end of 2025. To stabilize throughput again in the long term, Perseus invested USD 170 million in the CMA underground project, which began in April 2026 and extended the Yaouré mine's production life. Management is targeting total production of up to 480,000 ounces of gold for 2027. In addition, Perseus is expanding the Nyanzaga project in Tanzania, which is expected to deliver its first gold in 2027 and diversify the portfolio regionally.

Kobo Resources: Kossou Delivers Spectacular Drilling Results

Right on the border with Perseus' Yaouré Mine, the agile exploration company Kobo Resources is advancing its Kossou Gold project. The immediate proximity to the Birimian greenstone belt is proving to be a real asset: Over 42,488 m of drilling across more than 222 holes underscores the property's geological potential. In the Jagger Zone, Kobo encountered an interval of 75.29 g/t Au over 2.0 m at a depth of 99 m, which even reached 150.00 g/t Au over 1.0 m in the core. The Road-Cut Zone confirms the vertical continuity of the system over a depth of 279 m. During drilling in the Road-Cut Zone, the exploration team discovered an interval grading 5.67 g/t Au over 7.0 m. Metallurgical tests conducted by the specialized laboratory SGS Canada confirm the quality of the ore and attest to an average gold recovery rate of 97.0%, with 57.0% of the precious metal already recovered via simple gravity separation. According to analyses, the ore responds very well to standard CIL processes with low reagent and energy consumption. Based on this, Kobo Resources is preparing a resource estimate in accordance with the NI 43-101 mining standard.

Regional Expansion and Takeover Speculation

In addition to its main Kossou project, Kobo Resources is strategically building a second foothold in the region. On the 302 km² Kotobi license, soil samples have already revealed significant anomalies of up to 780 ppb (parts per billion) of gold. Kobo established an exploration base on-site and began initial drilling using RAB and RC methods. The company is supported by a strategic partnership with Luso Global Mining, the development subsidiary of the Portuguese construction group Mota-Engil, which invested USD 3.6 million and, following several financing rounds, now holds approximately 9.8% of the shares in Kobo Resources. Thanks to CAD 5.5 million in financing, Kobo stands on a solid foundation.

With its modest market capitalization of only about CAD 24 million, Kobo Resources is repeatedly the subject of takeover speculation. In fact, such speculation is not entirely unfounded. Since Perseus Mining needs high-grade ore from Yaouré to keep its existing processing plant running at full capacity, and since building new infrastructure—as Endeavour Mining is doing—consumes large sums of money, Kobo could offer an ideal entry point for the major players in the region. In the medium term, however, the upcoming resource estimate for Kossou is likely to be the more important catalyst for the share price. The stock is currently trading at a level not seen in a long time. Cautious investors should nevertheless be aware of the risks associated with small-cap stocks. If gold makes a comeback, however, Kobo is likely to return to the market's spotlight to a greater extent, largely regardless of its own operational successes.