Amigo Resources (LSE:AMGO), the Tanzania-focused gold processing and exploration company, said commissioning has been completed at its two pilot facilities.
Each site is designed to process approximately 200,000 tonnes of tailings per annum and management is confident both can support an initial output target of around 20kg of gold per month.
The company has completed borehole drilling and electrical connections at the project sites, relocated around 6,000 tonnes of historical tailings for processing, and identified around 1 million tonnes of tailings suitable for reprocessing.
Internal metallurgical test work is finished, with independent external laboratory verification now underway.
Separately, exploration at the Big Mine area continues, with micro-seismic surveys ongoing and a trenching programme underway to test surface mineralisation.
Executive Chair Craig Ransley said the Mojimoto and Kabete sites represent "only the beginning of a much broader strategy" to replicate the processing centre model across Tanzania.
The board is also evaluating strategic options to scale the business, including a potential reverse takeover, though Ransley cautioned these discussions "remain exploratory" at this preliminary stage.
Results from the Big Mine exploration programmes will be reported once received and validated.
News Intelligence what this means for the company
Amigo Resources has completed commissioning of two pilot gold processing plants in Tanzania, each targeting 20kg monthly output from tailings reprocessing. The company has identified ~1 million tonnes of suitable tailings and is conducting independent lab verification of metallurgical test work. This represents progress on the pilot phase announced earlier; the company raised £3.07 million in June 2026 to fund operations, and is now exploring strategic options including a potential reverse takeover to scale the model across Tanzania.
Commissioning completion de-risks the pilot phase and validates the processing model at two sites, but the company remains pre-revenue at scale. The board's evaluation of strategic options—including reverse takeover—signals capital constraints and suggests current cash may be insufficient to fund expansion without dilution or external capital.
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