Shares in Ecuador-focused SolGold shot up more than 23% on Wednesday after the company announced a $3.2 billion investment from the country’s government in its flagship Cascabel copper-gold project in coming years.
The deal is the largest mining investment in Ecuador’s history, according to SolGold, and it is separate from the government’s already committed $311 million for the project, included in the current Investment Protection Agreement for Cascabel. The complementary IPA, inked at the at the Prospectors and Developers Association of Canada convention in Toronto, highlights the scale and importance of the project, SolGold said
“ not only reinforces the protections for our key investment in Ecuador but also symbolizes a deepening of our relationship with the Ecuadorian State,” chief executive Scot Caldwell said.a new pre-feasibility study for Cascabel in which it managed to slash upfront costs. Pre-production capital used for initial mine development, first process plant module and infrastructure is now estimated at $1.55 billion, compared to $2.
SolGold’s shares were trading 23.07% higher in London mid-afternoon to 8.13p. Year-to-date, however, the stock is down more than 18%. The company’s current market capitalization is £243 million .Ganfeng Lithium to pay $51m for 15% of Lithium Americas’ Pastos Grandes project in ArgentinaUS imposes preliminary duties on aluminum extrusions from China, Indonesia, Mexico, Turkey