* Mali’s government gets about 25 percent revenues from gold
* Mine to produce 132,000 ounces in first full year
* After that 107,000 ounces per year
LONDON, Aug 29 (Reuters) - Hummingbird Resources said on Tuesday it had begun pre-production mining on schedule at its Yanfolila Gold Project in Mali and is on track to produce its first gold by the end of the year.
In Mali, Africa’s third largest gold producer after South Africa and Ghana, around a quarter of government revenues come from gold. Output has been falling this year pending the opening of new mines.
In its first full year of production, Yanfolila will produce 132,000 ounces of gold and average production over the life of the mine will be 107,000 ounces per year.
Hummingbird shares have almost doubled this year after the AIM-listed company successfully raised $75 million in 2016 to begin mine construction.
Yanfolila is expected to be one of the highest margin, lowest cost gold projects in West Africa, Hummingbird said. (Reporting by Barbara Lewis in London and Justin George Varghese in Bengaluru. Editing by Jane Merriman)