Turaco Gold said on 27 October 2026 that it had executed agreements to buy Sodim Ltd's remaining 20% interest in the Afema Gold Project in southeastern Côte d'Ivoire for consideration it valued at US$79m (A$112m).
Why Turaco Gold Limited is buying Sodim Ltd's remaining 20% interest in the Afema Gold Project
Turaco said the deal simplifies ownership and financing, removes Sodim's right to convert its interest into a 1.5% royalty and gives it more flexibility to start early works such as camp construction, access roads and earthworks. It compared the price with an implied look-through value of about US$122m for the stake.
“Consolidating ownership of Afema is a major step towards development.”
Deal terms and financing
Turaco has paid a non-refundable US$3m fee for a three-month option. On exercise it will pay US$30m in cash and issue 55.1m shares, subject to 12-month escrow, and 36.7m options. Sodim keeps a 0.33% net smelter royalty that Turaco can buy back, and is entitled to milestone payments of US$3 to US$5 per ounce for resource growth. Existing shareholder agreements, the Sodim loan and a discovery payment of up to US$2.5m will fall away.
Regulatory approvals and timing
Exercise of the option depends on Turaco shareholders approving the issue of the consideration securities at a meeting expected in early December 2026. The Ivorian state retains its 10% non-contributing interest.
Market context
Afema hosts a JORC resource of 4.65Moz and Turaco is targeting a definitive feasibility study in the second quarter of calendar 2027, followed by a final investment decision. The company called a trading halt to raise equity through a placement and share purchase plan, which the AFR reported at about A$105m.
