Excellon Resources has acquired the fully-permitted Mallay silver mine in Peru, which was previously operated by Buenaventura. The company aims to restart operations by late 2025, leveraging an estimated $115 million in existing infrastructure. Cash flow from this mine will support exploration efforts in Idaho, ensuring continued growth in the silver sector.
Excellon Resources has recently acquired the Mallay silver mine in Peru, which has been fully permitted for production. Previously managed by Buenaventura from 2012 to 2018, the mine has seen significant investment, amounting to approximately $115 million, enhancing its infrastructure and facilitating 50 km of underground development. CEO Shawn Howarth expressed optimism about transitioning the mine back to operational status within a three to six-month timeline, with silver production expected in Q3 or Q4 of 2025.
The Mallay silver mine acquisition is a strategic move for Excellon Resources, as the mine is poised for immediate operational resumption due to its existing permits and infrastructure. This acquisition not only strengthens Excellon’s position in Peru’s mining sector but also supports its financial strategy by potentially generating cash flow to fuel other developments. Furthermore, the focus on upgrading mineral resources to 43-101 compliance indicates a commitment to maintaining industry standards.
In summary, Excellon Resources aims to capitalize on its newly acquired Mallay silver mine in Peru, with a targeted restart of operations by late 2025. This venture is expected to enhance their production capabilities and provide financial backing for further exploratory projects, particularly in Idaho. Overall, the strategic acquisition underscores Excellon’s broader ambitions within the silver market and resource development arena.
Original Source: www.proactiveinvestors.com
