Condor Gold PLC (AIM:CNR, TSX:COG, OTC:CNDGF) said it does not expect the recent sanctions imposed by the US on Nicaragua to have an impact on its operation in the country.
President Joe Biden introduced measures on Monday targeting Nicaragua’s mining, gold and other sectors, all of which are significant earners for the country.
US companies have effectively been banned from doing business with Nicaragua's gold industry with restrictions imposed on the country’s mining authority and government officials.
In a statement, Condor said: “After an internal review of its current and future planned operations, the company confirms that it is the board's current view that the sanctions are unlikely to have any impact on its current Nicaraguan operations.
“Whilst the company is yet to fully understand the impact the sanctions may have on the company's future operations in Nicaragua, the board's initial view is that this is unlikely to directly impact operations noting that the sanctions appear targeted at state-owned enterprises.”
The La India project in Nicaragua is almost construction ready and materially de-risked, it added.