Unigold Inc. (TSX-V:UGD, OTCQX:UGDIF) said its application for the Nieta Sur Exploitation concession in the Dominican Republic has moved to the next stage of review.
The Direccion General de Mineria (DGM), a department of the Ministerio de Energia y Minas, has completed its technical review of the application and has forwarded the application to the ministry with a positive recommendation, marking a significant step in the permitting process. The ministry will complete legal reviews and will draft resolutions that will be forwarded to the executive branch of government for final approval, the company said.
"The DGM has been diligent in their review which included site visits, requests for information and discussions on project design. The technical and legal teams at the DGM have fast-tracked this application in a little over seven months,” Joe Hamilton, chairman and CEO of Unigold said in a statement.
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“This is a remarkable achievement and credit should be given to both Unigold and Government teams in their ability to work towards a common goal. We are confident that the application will now move swiftly through the Ministry and Executive branches of government," he added.
Receiving an exploitation licence over a portion of the Neita Concession would be the first step in achieving commercial production at the Candelones oxide deposits, the company said, adding that the application and supporting documentation were filed with the appropriate government organizations on February 25, 2022.
An exploitation licence would give Unigold the sole right to extract metallic minerals from a 9,990-hectare concession area for a 75-year period.
Baseline environmental work is substantially complete and once the exploitation licence has been granted, the Ministerio de Medio Ambiente y Recursos Naturales will confirm and forward the terms of reference for the Environmental and Social Impact Assessment, the company said, adding that it will have more clarity on this part of the permitting process by the end of November.
The feasibility study for the oxide portion of the Candelones deposits is awaiting final pit designs, production schedules and a final cashflow model, the company said, noting that it will be able to release the results of feasibility level engineering, including updated capital and operating cost estimates, when the engineering teams have completed their work.
Unigold anticipates that the economic results as released in the 2021 PEA can be achieved in the feasibility study. The company expects to release the feasibility study including a resource/reserve estimate for the oxide portion of the deposit in the next four weeks.
Unigold is a Canadian-based mineral exploration company. The multi-million-ounce Candelones gold deposits are within the 100%-owned Neita Fase II exploration concession located in Dajabon province, in the northwest part of the Dominican Republic.
Contact the author at jon.hopkins@proactiveinvestors.com