Cora Gold (LON:CORA) has reached a significant point in its development journey, according to the latest research note from Cavendish, with the broker highlighting that the company’s FY25 results have been largely overtaken by important post-period funding developments.
The Cavendish Company Flash, dated 18 May 2026, focuses on Cora Gold’s flagship Sanankoro gold project in Southern Mali. While the FY25 results themselves contained little new information, Cavendish points to the recent financing progress as a major change in the investment case. The broker has maintained its short-term target price of 27.0p per share fully diluted, compared with a share price of 9.6p at the time of the note, implying upside of 181%.
Research Analyst Yuen Low, Director of Research at Cavendish, directly wrote: “The removal of funding risk represents a key de-risking milestone and we are hopeful that this will galvanise the Mali Government in terms of the issuance of the mining permit.”
That sentence neatly captures the central message of the note. For a junior gold developer, securing funding can be one of the most important steps between study work and construction. In Cora Gold’s case, Cavendish says last month’s signing of a binding term sheet for a US$120m Gold Stream with Eagle Eye Asset Holdings, the company’s largest shareholder with a 29.9% interest, has put Sanankoro in a much stronger position. This follows a £15.7m fundraise in March, also corner stoned by Eagle Eye Asset Holdings.
Cavendish states that Sanankoro is now fully funded to development, subject to permitting. That final phrase remains important, as the mining permit is still required before construction can move ahead. However, the research note says permitting continues to advance well, supported by ongoing constructive engagement with the Mali Government.
The financing structure also gives Cora Gold some flexibility. Under the terms described by Cavendish, Cora has the right to replace 50% of the stream, equal to US$60m, with senior debt or other funding for up to 240 days following approvals. This means the company retains a committed funding solution while still having room to optimise the financing structure.
Sanankoro Project Highlights
The Sanankoro project remains the key focus for Cora Gold. Cavendish refers to the updated Definitive Feasibility Study released in September, which showed attractive project economics at a flat gold price of US$2,750/oz.
Key highlights from the note include:
- Post-tax NPV8% of US$221m on a 100% basis
- Initial capex of US$124m
- IRR of 64.9%
- Payback of 1.1 years at US$2,750/oz gold
- Cavendish estimates payback would be well under a year at spot, even with the stream
- Life-of-mine planned production of 482koz, excluding Inferred resources
- A possible additional 173koz from pit-optimised Inferred resources under the Management Plan
- Potential mine life extension of five years, taking the life-of-mine to 15 years
- Current resource base of 1.04Moz
- 19 new exploration targets identified, most believed to be oxides and within 3 to 4km of the proposed process plant
These details suggest that Sanankoro is not simply a near-term development story, but also a project with further growth potential. Cavendish notes that mineralisation remains open from each pit or at depth, that optimised pits bottomed out because of a lack of deeper drilling, and that there are undrilled artisanal workings.
Financial Forecasts Point to a Step Change
Cavendish’s forecasts show the expected scale of change as Sanankoro moves towards production. Revenue is forecast to remain at US$0.0m in 2026, before rising to US$6.1m in 2027 and then US$230.7m in 2028. Adjusted EBITDA is forecast to move from negative US$3.0m in 2026 to US$1.1m in 2027 and US$137.6m in 2028.
Adjusted profit before tax is forecast at US$119.8m in 2028, while adjusted fully diluted EPS is forecast to reach 7.51 cents in that year. Cavendish also forecasts closing net cash of US$62.0m in 2026, US$11.0m in 2027 and US$81.2m in 2028.
These are forecasts rather than guarantees, and they remain dependent on permitting, development execution, commodity prices and operating delivery. However, they show why Cavendish views the recent funding development as transformational for the company.
Final Thoughts
Cavendish’s latest research note presents Cora Gold as a company whose FY25 results have been overshadowed by more meaningful progress in 2026. With Sanankoro now described as fully funded to development, subject to permitting, the focus moves firmly to the award of the mining permit and the company’s ability to progress construction. The maintained 27.0p target price reflects Cavendish’s positive view, while the funding package, updated feasibility study economics and exploration upside provide the main pillars of the broker’s assessment.
