The company yesterday announced an updated indicated resource of 13.9 million tonnes at 1.4g/t gold for 623,700 ounces, a 124.4% increase on the initial 2012 resource.

The inferred portion increased 23% to 5.7Mt at 0.96g/t for 180,700oz.

The bulk of the indicated resource, 73%, is at the "essentially contiguous" Big Bend and East Dyke deposits.

The new resource estimate comprised updates for five deposits and initial resources for three more, based on 212 diamond holes completed since 2012.

"We see this mineral resource update as a solid base on which to continue growing the Kibi gold project resource," president and CEO Jim Longshore said.

"As a result of this greater mineralisation control confidence, ongoing exploration drilling by our in-house drilling crews since the late July 2021 Mineral Resource database close-out date has identified additional targets for potential resource growth within the Zone 1 - Zone 2 - Zone 3 Mineral Resource footprint area, further supporting our belief that we are on the verge of proving up a significant new gold complex."

The company's community mining project meant it had enough cash to internally finance its 2021 and 2022 work programmes, Xtra-Gold had said in May.

It contracts placer gold recovery operations to local Ghanaian groups, promoting the local economy and avoiding illegal workings on its properties, and pays a 5% government royalty on gold sales.

It had US$6.8 million cash on hand at June 30, saying it had produced 653oz of raw gold from its recovery operations during the quarter and sold 1,445oz fine gold at $1,704/oz.

Shares in the company (TSX: XTG) have spanned C83c-$1.53 over the past year.

They closed up 5.8% yesterday to $1.10, capitalising it at $51.5 million (US$41.5 million).