Nativo Resources Explores Tailing Reprocessing Opportunities in Peru

Nativo Resources has an option to evaluate the Toma la Mano tailing deposit in Peru, aiming to reprocess tailings and mitigate environmental liabilities. The company, through Boku Resources, seeks further tailings projects while contending with a declining share price post-share consolidation.

Nativo Resources, listed on the London Stock Exchange under the ticker NTVO, has secured an option to assess the potential reprocessing of the Toma la Mano tailing deposit in central Peru. In collaboration with their local partner, Boku Resources, which they hold a 50% stake in, Nativo will have three years to conduct a technical evaluation of this project. This agreement also aims to address the environmental liabilities associated with the tailings.

The Toma la Mano tailing deposit contains an estimated 1.8 million tonnes of tailings, with recorded gold content ranging from 0.1 g/t to 1.7 g/t and silver content between 10 g/t and 37 g/t. However, these figures require verification before a formal resource estimate can be established. The nearby historical mine produced silver, copper, lead, and zinc, indicating potential productivity benefits from this initiative.

Furthermore, Nativo Resources is exploring additional tailings projects in Peru to capitalize on opportunities that benefit local communities by providing income while removing environmental hazards. Processing tailings is expected to be more cost-effective compared to traditional mining operations.

In addition to the Toma la Mano deposit, Nativo, through Boku Resources, is also involved in the Bonanza gold mine in Peru, where the company has successfully produced its first gold. Despite these developments, the company’s share price has been on a downward trend following a consolidation of shares, where 1,500 old shares were consolidated into one new share. Though this measure aims to reduce price volatility, it has resulted in a noticeable short-term drop.

Prior to this consolidation, the share price was recorded at 2.25 pence, which has since fallen by 6.94% to 1.675 pence, indicating a decline of approximately one-quarter over the previous six days. While the price may stabilize in the long-term, investors are encouraged to monitor the stock given the anticipated developments in Peru.

In conclusion, Nativo Resources is proactively exploring the reprocessing of tailings at the Toma la Mano deposit in Peru, addressing both profitability and environmental concerns. Despite a recent decline in share price following consolidation efforts, the company’s engagement with further potential projects and the successful operations at the Bonanza gold mine signify promising prospects for growth and stability in the future.

Original Source: ukinvestormagazine.co.uk