Metals Exploration plc has entered into an agreement to buy a US$9.7 million gold ore processing and concentration plant for its La India gold project in Nicaragua.
PRODUCTION
The purchase from Almaden Minerals Ltd includes crushers, conveyors, grinding ball mill, Sepro Falcon gravity circuit, carbon in leach (CIL) circuit, elution and smelting equipment and laboratory, and certain related assets.
Completion of the transaction, expected on or around 31 August, is subject to certain conditions, including a final inspection by the company.
Metals will use existing cash resources and cashflow generation to pay for the plant currently located in Nome, Alaska.
Payments will be in stages between 14 days of execution of the agreement and the plant ready for shipment.
The plant will be dismantled and packed for freight forwarding in early May, depending on the weather, and in transit before the end of August.
Metals said it had chartered a private vessel for the shipping the plant to Nicaragua where it will be reassembled at La India.
Chief executive Darren Bowden added: “The plant provides the company with the ability to fast track the La India project, saving considerable development time in not having to order long-lead items.
“This purchase has re-affirmed our ability to achieve our aim to have commenced production at La India in Q4 2026 as all external long lead items are in hand, including associated detailed drawings which reduces engineering costs and time.
“This purchase further demonstrates our commitment to having the La India project in operation on a fast-track schedule, ensuring Metals Exploration maintains and improves its current positive cash flows in the short term.”