SEMAFO is planning to increase the processing capacity of its plant at Mana property in Burkina Faso by 6,000t a day.
The aim of the expansion project is to increase the capacity of the plant to 14,000t a day, bringing Mana's total production to more than 300,000oz of gold per annum.
SEMAFO plans to construct a satellite crushing and milling facility, which will prepare the ore for final processing at the Mana plant.
Capital expenditure of $100-$125m has been estimated for the project, which will be fully funded through SEMAFO's cash flow.
The expansion is scheduled to begin in early 2012 and is expected to be completed in the second half of 2013.