BSR Visit to Senegal

As a BSR shareholder and someone who has worked in both the mining, petroleum and the environmental industry, the latter having just won a 2016 tourism award, I decided to make the trip to Senegal for the mining conference held in Dakar on 8-10 November, I emailed the BSR Secretary, Margaret to advise that I would be attending and had a prompt supportive response from Alex. I notified a blogger friend known as Niftiest and within days after a long flight we were at the DAKAR airport. Alex had arranged to meet us and when you’re in a strange country it was great to have a host like Alex.

My mission was to see first hand and gain an understanding of the country/security, management of BSR and personnel working for the company. To inspect, the future mine sites, plant and equipment, water supply, power supply, campsites, anything and everything connected with the company.

While at the conference we had the pleasure of meeting, the director of mines and the minister of mines, who were given a briefing of the work carried out by chief geologist Moussa Diba. I was very impressed that all the BSR staff attended the conference and the excellent information we heard was very informative. The BSR stand was well received and I managed to get on the ministers face book page.

After three days of conference we had a quick sightseeing trip of the capital, Dakar and a boat trip to Goree' Island.

An early start the next morning and the long and sometimes slow/rough journey to the mine sites began. 12 hours in 4WD and we reached Kedougou approximately 70kms from Douta campsite;
Kedougou is a small but bustling rural town, transitioning itself to take advantage of the gold mining industry, with SABODALA, TORO GOLD and BSR all in close proximity.
Another early start and a couple hours north of Kedougou we arrived at the Konkouto drilling site,were the drill rig was using the diamond drill head and was down to 200 meters.the field geologists, gave us a good description of the area, the way the drilling was going why they were drilling on the angles, because of previous results completed. There was great expectations in this area and it will be good to see the assays come out in a few weeks. When we left the drill site it was down to 225 metres. The next morning in Douta compound we saw all the core samples down to 237 metres, and still some visible gold down to 236 metres before the mineralisation they seek ran out. Much the same as has been reported in the quarterly report with photos etc. After a few hours there I came away with a pretty good understanding of the area being drilled and the excitement of the crew out there. Of course it will be some weeks before results come back for that drill hole. Some one thousand five hundred samples have already been sent and hopefully we will see results there come back soon.

We visited the Douta campsite where the drill team and the BSR team stay while working on the Konkouto sites. Very impressive, I did not know this compound/campsite even existed.

After lunch we travelled South to see the proposed Makabingui mine site. The Douta campsite and very large compounds accommodation for 120 + persons, kitchen, mess room, social room, storage sheds, spare parts shed, trucks and Kato diggers, grader, even the first aid hospital and all the drilling core samples from day 1, numbered and put away for any further testing required Even a mosque for daily prayers. The chief engineer has built a truly great complex with geologists room and a excellent water purifying system which is pumped up from the bore to two very large tanks - gravity fed to all of the campsite etc.

There was plenty going on here, with fresh painting and maintenance happening in preparation for the start of mining.

You can certainly see where the money has gone; from capital raising and share placements. The monies raised from BSR share holders has been well spent in infrastructure, plant & machinery, not to mention the drilling programs. I have read on Hot Copper a lot about share dilution but what I have witnessed in MY OPINION (IMO) the company is nearly ready to commence mining operations and any past share dilution will by far be made up for in the results from exploration not to mention at this stage - the company is DEBT FREE. If you valued the infrastructure, plant and machinery, than added the value of GOLD in the ground, with a new deposit to come (Konkouto). Hold this figure. ???????

Multiply the listed shares on issue by the current share price, Subtract from the figure above and then In my opinion the company is still very much undervalued, again this is just MY OPINION.

We stayed the night at the Douta campsite complete with WI-FI and all the comforts of home. After breakfast and more detailed viewing of the campsite then travelled onto the Makabingui proposed mine site, also viewing the security quarters and their patrol team and inspection of the dam which holds the water for the gravity fed plant nearby. The spillway needs some work before next wet season and talk of another dam below the spillway was mentioned. This dam already has various varieties of fish in it, much to the delight of the village fisherman with their nets, catching a good feed is easy. Niftiest could tell you all the species of fish, just beware of the croc’s.

Back to the plant, this is already to go and can go straight into use when the permit is received, both the chief engineer and the field geologist estimated a 65% recovery rate of the GOLD coming out of the first 15 metres of alluvial ground can be achieved. Separation of the gold in mineralisation quartz can be separated from gravity plant and put through later when the ball mill crushing plant arrives from ……???? which could take 3 to 6 months to arrive and assemble, with not a lot of time lost in the operation of the existing gravity plant. Everything is there including the moulds to pour GOLD and a huge safe that the fellows who built the pyramids, I doubt could move.

Before we left the Douta camp for our trip home, we met the staff at the mess room to say goodbye and joined in prayers which was conveyed in three languages, local dialect, french and English for our benefit. The permit was on top of the list for us. One of the most important prayers.

The company had to have a tight belt in waiting so long for this permit and I could see that these people are looking forward to when the permit eventually comes through, hopefully sooner than later. It will mean so much to them as they will have a much brighter future for the staff at Dakar, local towns and much needed injection of income for the local villagers. A great opportunity exists for long term employment with training and apprenticeship opportunities for the young.

The chief engineer who built the campsites and assembled the plant is very conscious of the impact, that will affect the local community and I’m very happy to say he has addressed the situation on his plans for environmental control including roads to be built from pit to plant.

In summing up I have full confidence in the team for both the share holders and the Senegalese people. I look forward to a return trip in approximately 2 years time just to see the benefits given to some of the younger village people in respect to training and apprenticeship opportunities. At the moment most of the young ones head to Dakar having to leave their community just to find work.

Also with the permit holdings yet to be explored, it has the opportunity to be a very large, profitable mine and a great opportunity for the local village people. Again this is just IMO of what I have seen. It has answered many of my questions and much more….

I for one, will be looking forward to the 10c party.