- Serabi Gold (SBI) has been granted a preliminary licence for the Coringa project in Brazil, from the State Environmental Council of Para
- The preliminary licence is the first in a three-stage licensing process to begin mining in Brazil, and the company is now seeking the second installation licence
- The second licence will allow the company to construct processing plant and other infrastructure at the site, at which point the final full operating license can be sought
- If approved, the project is expected to produce around 38,000 ounces of gold per year, almost doubling the company’s current production capacity
Serabi Gold (SBI) has been granted a preliminary licence for the Coringa project in Brazil, from the State Environmental Council of Para.
The preliminary licence is the first in a three-stage licensing process to begin mining in Brazil, and the company is now seeking the second installation licence.
The second licence will allow the company to construct processing plant and other infrastructure at the site, at which point the final full operating license can be sought.
Serabi already owns and operates the Palito mining complex in Brazil, which produces around 40,000 ounces of gold each year. Comparatively, the Coringa project is forecast to produce an average of 38,000 ounces, almost doubling the company’s production capacity.
Serabi originally acquired Coringa in 2017 and was attracted to the project due to its similarities in size and geology to its operations at Palito.
Mike Hodgson, CEO of Serabi, commented said this was a very significant milestone in the development of the Coringa project.
“We have already undertaken most of the preparatory work that we know will be required for the submission of the LI application, so we are in a good position to make this application promptly.
“Considering how the COVID-19 pandemic has adversely effected so many aspects of life, we are obviously delighted with this outcome, which has been the culmination of significant efforts from our management in Brazil and our legal team and I extend my heartfelt thanks for their work in securing this result for the company,” he said.
Serabi Gold (SBI) remains unchanged and is trading at $1.64 per share at 10:30am EDT.