SolGold advances plan to sell flagship Ecuador copper project

“External groups evaluating theprojectare being very diligent in their review as they progress through various stages in their internal processes,” chief executive ScottCaldwell said in the statement.
“In parallel, we continue to advance and de-risk Cascabel to position it as a turnkey asset,” he said.
SolGold noted that work plans for 2024 are now funded, with no additional financing required in the near-term, thanks to a $86 million combined investment from Osisko Gold Royalties (TSX, NYSE: OR) and Jiangxi Copper.
Caldwell reported that, since his appointment to the top job nearly a year ago, he had implemented a “hard reset” for the organization. Caldwell and Solgold’s chief financial officer, Chris Stackhouse, have tied their compensation to higher share prices and both have made personal investments in the company’s shares.
The miner’s headcount has reduced by about 70% since the 2022financialyear. It has now 282 employees, down from 894.
On the groundAnother key move was Caldwell’s relocation to Ecuador to leadoperationson the ground.
Shortly after, the company secured a 25-year license renewal for the project, located in the Imbabura province of northwest Ecuador.
SolGold said its current top priority is to continue advancing its ongoing strategic review, which include the potential sale of Cascabel and/or SolGold’s Ecuadorian exploration portfolio.
According to thepre-feasibility study (PFS) published in Aprillast year, annual production will average 132,000 tonnes of copper, 358,000 ounces of gold and 1 million ounces of silver during Cascabel’s 55-year life-of-mine.
The company is working on an updated PFS, which it will published by the end of next year’s first quarter.It’s expected to demonstrate a lower risk path for Cascabel with reduced capital intensity.