Canada’s Zincore has entered into an agreement with Mines & Metals Trading (Peru) PLC (MMTP) to merge operations in Peru.
Under the terms of the agreement, the merged entity will be listed as a Tier 2 issuer on Peru’s TSX Venture Exchange on completiton of the transaction. The new entity will continue the exploration and development of MMTP’s Recuperada zinc-lead-silver project in Huancavelica, Peru, and the reactivation of Zincore’s Accha Zinc Oxide District (“AZOD”) Project.
MMTP specializes in taking over and extracting full value of undervalued mining projects across Latin America. The Recuperada zinc-lead-silver project is the company’s primary asset covering more than 11,000 hectares that consist of 178 concessions. The project hosts a network of mineral-bearing veins, advanced infrastructure from previous underground mining operations and an ore processing plant with the capacity to process upto 600 tonnes of ore per day.
According to the agreement, Zincore will acquire 100pc of the issued and outstanding ordinary shares of MMTP through a three-way merger between Zincore, MMTP, and Zincore (IOM) Limited, a wholly-owned subsidiary of Zincore.
The new entity that will be created after the transaction, which is expected to close by the end of Q1 2020, will be helmed by José María García, currently the chief executive officer of MMTP.