Mineral and Financial Investments says Ascendant Resources has completed more than US$9mln of project-related spending on the Lagoa Salgada project and paid TH Crestgate, a wholly-owned subsidiary of M&FI, an additional US$1mln on May 24, 2022.
This fulfils the first phase of the earn-in conditions to increase Ascendant’s effective ownership interest from 25% to 50% in the Lagoa Salgada VMS project.
Ascendant expects to fully satisfy the conditions of the Earn-In agreement and to increase its stake in the Project to 80% by year-end, MFI added.
Jacques Vaillancourt, MFI’s CEO added: "We are thrilled by the outcomes of the development work conducted at Lagoa Salgada since Ascendant's involvement.
On the exploration front, we believe the yield of tonnage to resources has been exceptional which suggests significant resource growth still to come and on the technical front we are seeing better results than initially expected across the board.”
Ascendant expects to pay an additional US$2.5mln to MFI by December 22, 2022.