Aya Gold & Silver (Aya) has agreed to acquire the Tirzzit copper mine in the Tirzzit District near Zgounder, Morocco, from an undisclosed company for approximately $4.9m (C$6.49m).

The mine comprises seven prospective copper-silver permits including five exploration permits and two mining licences, located 25km from the Aya Gold’s Zgounder Silver Mine.

In a press statement, Aya said: “This acquisition adds a historical mine with a significant amount of proprietary data as well as a prolific land package with tremendous potential.”

Under the deal, Aya will pay $800,000 in cash and issue 622,728 shares.

Upon completion of the transaction, the company will own a 100% stake in the Tirzzit mine.

Aya plans to use historical data including drill results and geophysics to launch fieldwork to enhance its understanding of the Tirzzit mine.

The transaction is subject to final approval from the Toronto Stock Exchange and regulatory approval in Morocco. 

Before 2023-end, Aya plans to launch a fieldwork programme on the properties and adopt a systematic approach to its exploration of the Tirzzit project, starting with a deeper analysis of historical data, including drilling data.

Aya president and CEO Benoit La Salle said: “The acquisition of Tirzzit fits with our objective of expanding our mineralised footprint in Morocco and accretively growing our resource base. It also provides long-term exposure to a new potential mining district within trucking distance of Zgounder.

“Very little exploration has been carried out to date on the new permits, offering our team an opportunity to quickly unlock value for all stakeholders. We look forward to launching an exploration programme and maximising value in the near term.”

Earlier this year, Aya closed $100m in project financing to fund the construction of the Zgounder Silver Mine expansion project in Morocco.