(Toronto, Ontario – June 4, 2019) Peruvian Metals Corp. (TSXV: PER) (“Peruvian Metals” or the “Company”) is pleased to provide an update regarding the mineral processing at its 80% owned fully permitted Aguila Norte Processing Plant (“Aguila Norte” or the “Plant”) located in Northern Peru.
During 2019, Peruvian Metals has consistently grown the output at the Aguila Norte processing facility in Northern Peru. The Plant has a capacity of 100 tonnes per day or approximately 3,000 tonnes per month. During the first quarter processing was impacted by poor weather conditions which slowed the supply of mineral to the Plant and concentrate for sale. During the first quarter the Plant processed 2,103 tonnes.
During Q2, the Plant is now approaching 90% of its full capacity, and has processed 2,294 metric tonnes during the month of April and a monthly record 2,771 metric tonnes during May. In addition, the Company has stockpiled 2,800 tonnes for processing during June. The Company continues to stockpile third party mineral for processing and has in place contracts for the balance of 2019.
Jeffrey Reeder, CEO of Peruvian Metals comments: “During Q2, the Company’s Aguila Norte processing facility has achieved record processing throughput. The Company has a distinct competitive advantage due to its location and plant design thereby producing high quality mineral concentrates that receive higher concentrate prices. Along with a full permit allowing for expansion, the Company has the potential to increase Plant capacity for higher monthly processing rates. The Company will be in a stronger position to commence purchasing mineral in the near term.”
The Aguila Norte processing plant has an environmental permit (“IGAC”) from the Peruvian government which provides the Plant with the ability to expand operations past the current 100 tonnes per day level. With the processing of third party mineral and the Company’s plans to convert to mineral purchasing and processing, to achieve higher margins, expansion of the Plant is anticipated. Jeffrey Reeder, P Geo, a qualified person as defined in National Instrument 43-101, has prepared, supervised the preparation or approved the scientific and technical disclosure contained in this news release.
