Condor Gold has received an environmental permit from the Ministry of the Environment and Natural Resources (MARENA) for a new mine at its La India Gold Project in Nicaragua.
The permit is for the development, construction and operation of a processing plant and associated infrastructure at the project located in the Department of Leon.
Condor chairman and chief executive officer Mark Child said: “I am delighted that the Ministry of the Environment and Natural Resources has granted Condor Gold the key Environmental Permit for the development, construction and operation of a processing plant with capacity to process up to 2,800tpd.
“Gold production is expected to be approximately 80,000oz gold per annum from a single open pit, represents a $120m investment and creates 1,000 new jobs.
“The grant of the permit is also an important sign of commitment by the Nicaraguan Government to the mining industry in the country.”
According to a pre-feasibility study (PFS), the La India open pit has an existing probable mineral reserve of 6.9 million tonnes (Mt) at 3.01 g/t gold for 675,000oz gold.
In addition, the company plans to extend the redesigned mine site infrastructure for La India Open Pit to a bankable level of feasibility study (BFS).
Construction of the facility is expected to begin in the next 18 months and will last for 18 to 24 months.
However, the company will have to submit final engineered designs for several key components of the mine before commencing the construction.