Metals Exploration PLC on Friday said first gold production at its La India gold project in Nicaragua remains on track for December 2026, as construction and mining activity continues to advance.
The gold production, development and exploration company, which also has assets in the Philippines, said it had completed a USD27 million equipment financing facility with Banco de America Central, with USD20.2 million initially drawn down.
The facility has a five-year term and will finance the company’s initial mining fleet at La India. Metals Exploration said the financing reimburses the majority of equipment capital committed from its own resources and strengthens its cash position.
Construction of the processing plant is around 50% complete, with the grinding building structurally complete and the ball mill installed in its final position. The semi-autogenous grinding mill is ready to be lifted into place.
The company said fit-out of the carbon-in-leach tanks was 88% complete, while leach tanks were around 80% complete and detox tanks around 70% complete.
Elsewhere, bulk earthworks were 93% complete and civil foundations 92% complete. Pre-stripping of the open pit had reached 71%, while construction of the tailings storage facility was around 60% complete.
Metals Exploration said its owner-operated mining fleet was continuing to expand, with 10 Caterpillar 777 haul trucks and two Caterpillar 6020 excavators on site and operational. A further five haul trucks, a third excavator and other equipment are in transit or being manufactured.
The company said a 2 megawatt grid connection had been completed and energised, while an 800 kilovolt-ampere backup generator was connected and available for operations and commissioning.
However, some imported equipment and materials have experienced delivery delays due to disruption to international shipping linked to the conflict in Iran. Metals Exploration said it was evaluating alternative logistics solutions to mitigate the risk of further disruption.
Separately, the company said gold production from its Runruno operation in the Philippines is forecast to be at the upper end of its 2026 guidance of 40,000 to 48,000 ounces, due to higher-grade ore being mined at the stage five pit.
Chief Executive Darren Bowden said construction at La India was continuing to make “strong progress”, adding that the company was advancing towards first gold.
“These milestones demonstrate the continued momentum at La India as we advance towards first gold, and we look forward to updating shareholders as construction progresses,” he added.
Shares in Metals Exploration were up 4.5% to 15.50 pence on Friday afternoon in London, with market cap at £471.5 million.
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