PPX Mining Corp. (the "Company" or "PPX") is pleased to announce the closing of a key block of surface rights totalizing approximately 399 hectares that covers the principal area of its Igor Project, including the Callanquitas Mine and its south extension, as well as the area in which the Company plans to build a gold and silver processing plant to feed the high grade ore currently mined by its operator, Proyectos La Patagonia S.A.C. and processed by third parties. The acquired land contains the principal mineralized areas of the Igor Project, in particular, the Domo target.
The total surface rights area was acquired by a Peruvian subsidiary of PPX through four different acquisitions that began on February 13, 2012. The initial acquisition involved the purchase of approximately 319 hectares, followed by three additional acquisitions of approximately 20 hectares in 2014, 50 hectares in 2016 and 10 hectares in 2018.
Due to multiple challenges over the years, the closing of the first transaction remained outstanding. On April 13, 2015, the Company announced certain progress on the transaction, but not until February 16, 2023, the transaction was concluded. The end of this long process involved a final payment of PEN 420,000 (approximately CAD$ 151,625). Further to this payment, the Company is in the process of discharging an existing mortgage and finalizing the title inscription in the Public Registration Office of Otuzco, La Libertad, Peru.
The total amount paid over the years by the Company for the totality of surface right was PEN 4,315,499 or approximately CAD$ 1,557,942 at today's exchange rate.
John Thomas, Chief Executive Officer comments, "the completion of this acquisition adds material value to PPX by de-risking the Igor Project. It also provides flexibility to arrange the funding of our corporate objectives by allowing the possibility to source further secure debt financing, in addition to equity".