Nativo Resources (AIM:NTVO), the London-listed precious metals company with gold mining and processing interests in Peru, has re-sequenced development of its La Patona Gold Ore Processing Plant into three phases to speed first revenue and reduce scale-up risk.
The plant sits in Acarí, roughly 45 km from Nativo's wholly owned Tesoro Gold Concession, and will combine flotation and cyanidation circuits with an on-site smelter producing gold doré bars.
Phase 1 focuses capital on the cyanidation circuit, costed at $2.03m including a 35% contingency, with the crushing and milling infrastructure sized from the outset for the full plant.
That design choice keeps the step-up to Phase 1a's 110 tonnes-per-day capacity to roughly $87,550 before contingency, while Phase 2's addition of a 240 tonnes-per-day flotation circuit, targeting ore grading 5 to 15 grams per tonne gold, costs approximately $1.10m before contingency.
Phase 1 is to be funded through a mix of project finance, royalty stream finance and equity, with subsequent phases funded from free cash flow rather than fresh capital.
The final investment decision hinges solely on completing project financing, with advanced talks ongoing with multiple funding partners and an offtake proposal from a major commodities trading house still under review.
"The re-phasing of La Patona is about discipline: getting to first gold with the least capital, in the shortest time, and then letting the plant pay for its own growth," said chief executive Stephen Birrell.
Construction and commissioning are targeted for the second half of 2026, with first gold production targeted for the fourth quarter of 2026.
