Sign up Australia
Proactive Investors - Run By Investors For Investors

Lupaka Gold shines bright as it takes step closer to production in Peru

It has secured the final US$2.5mln tranche from its forward gold agreement and also sold a US$3mln in fellow Canadian miner GoldMining which leaves it on track to potentially bring its Invicta mine back into production later this year
gold pour
Lupaka is advancing Invicta towards potential production in the second half of 2018

Share in Lupaka Gold Corp (CVE:LPK) shone bright on Tuesday after the Canadian miner took another step towards production at its Invicta gold project in Peru.

Lupaka has received the third and final US$2.5mln tranche from its pre-paid forward gold purchase agreement with PLI Huara.

Production targeted in H2

On top of those funds, the company also told investors it has sold a stake in GoldMining Inc (CVE:GOLD) worth US$3mln, leaving it with around US$7.6mln in the bank.

All of that will help to fund the rehabilitation, preparation and development work at Invicta which is already underway and on track to be completed within the next four months.

“With a consolidated cash balance of approximately US$7.6 million, along with 400,000 free trading shares of GoldMining, the company remains well funded to deliver on its objectives of advancing the Invicta Gold Development Project towards potential production in the second half of 2018,” said president and chief executive Will Ansley.

PEA on track for H1 completion

Previous developers at Invicta - which has a measured and indicated resource of 600,000 ounces of gold along with copper, lead and zinc credits - spent US$15mln on the mine’s development and infrastructure.

Lupaka will make the most of that previous work at the project and there is already a mining contractor in place.

But the firm is also exploring new areas at Invicta to see if there is more gold and a preliminary economic assessment which will be used as a basis for additional development is on course to be completed in the current quarter.

Lupaka shares were up 8.1% to C$0.20 on Tuesday afternoon.

View full LPK profile View Profile

Related Articles

April 03 2018
Stratex is now under the tutelage of a new, experienced chief executive and on the lookout for opportunities
February 05 2018
Cradle Arc is ramping up copper production at its Mowana project, and further expansion is on the cards
July 05 2018
“It is an exciting chapter Lionsgold is entering and we look forward to reporting on the company's many business opportunities and developments throughout the course of the year,” said chief executive Cameron Parry

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use