The PEA envisaged a 14.7-year openpit mine producing 3 million ounces of gold, with peak annual production of 308,000oz.

It put pre-production capex at US$490 million, the after-tax NPV5 at $652 million and IRR at 31%, using a $1,600/oz gold price.

These metrics increased to more than $1 billion and 46% respectively using a spot gold price of $1,850/oz.

"Since its listing in October 2020, Montage has moved quickly and efficiently to demonstrate that the Kone gold project has the potential to be one of the largest gold projects in Africa situated within a highly prospective emerging district," CEO Hugh Stuart said. 

He has followed Kone, previously known as the Morondo project, since his time as VP exploration for Red Back Mining, which was acquired by Kinross Gold for US$7 billion in 2010.

"It is also important to note that the PEA represents a snapshot in time and the resource base has the potential to grow further," Stuart said.

Montage said it was fully funded to complete an expanded 55,000m drilling programme and a feasibility study by year-end.

It had a consolidated cash balance of C$27.6 million at March 31.

Montage said it was also pushing ahead with permitting for Kone.

Subject to approval, the company said it was planning to source water from the nearby Marahoue river, pit dewatering and a supplementary borefield, with the river expected to have flow in excess of total water demand for eight months of the year.

The company also noted the northern part of the project area overlapped with the Toundia forest reserve and said discussions had begun with the Forest Department to establish a mitigation plan.

Montage is focused on Cote d'Ivoire, where it also has the earlier-stage Korokaha and Bobosso gold projects, having divested its Burkina Faso assets to Predictive Discovery in November.

Its IPO was priced at C$1.10 per share.

Montage (TSXV: MAU) last traded at 91c, around the middle of its 12-month range of 65c-$1.27, capitalising it at $95.6 million (US$79 million).