Unigold Inc. (TSX-V:UGD, OTCQX:UGDIF) has provided an update on activities at its wholly-owned Neita concession in the Dominican Republic, highlighting that community and government support for the project has been encouraging.
The company filed an application to convert part of the Neita area into an Exploitation Concession at the end of February this year. The company’s objective is to deliver a final feasibility study and environmental impact assessment in the third quarter of this year.
"Our strategy for the delivery of a small footprint, low-capital oxide project at Candelones is intended to introduce mining to the local communities while allowing us to build capacity and infrastructure that can be used to develop the larger sulphide resource in the future,” Joseph Hamilton, Unigold CEO, said in a statement.
READ: Unigold submits application for Exploitation Licence for Neita concession in Dominican Republic
"The review of the application has been completed by the Mining Directorate with no material comments or changes. The Directorate has now moved the application to the next stage of the process with the publication of the application in the national newspaper. We remain confident that we can meet our Q3 guidance for the delivery of an Exploitation Licence over the southern part of the Neita concession," he added.
The first step in achieving commercial production at the Candelones oxide deposits would be to receive an Exploitation Licence over a portion of the Neita concession. Such a licence would give Unigold the sole right to extract metallic minerals from a 9,990 hectare concession area for a 75-year period.
“This application has successfully passed through the review process at the Direccion General de Mineria. The first of two public notices were published in the national media in the Dominican Republic on Monday, April 25, 2022. The company expects to continue to work closely with government authorities to expedite the issuance of the Exploitation Licence,” the company said.
The Feasibility Study for the Candelones Oxide project is ongoing. The company said it will engage appropriate consultants to finalize a feasibility study with sufficient detail to support project financing discussions. This report is expected to be released in Q3 of 2022.
Contact the author at jon.hopkins@proactiveinvestors.com