Condor Gold continues compromise with Nicaraguan government over processing plant

Condor Gold on Friday submitted 450 pages of additional technical studies to Nicaragua’s ministry of environment and natural resources in pursuit of the construction of a processing plant.

The AIM-traded Gold exploration firm said the extra steps to its environmental permit application to construct and operate a processing plant at the La India project come after ministry officials visited and inspected the re-designed mine site infrastructure on 13 March.

Condor said the proposed processing plant at the project would have the capacity to process up to 2,800 tonnes per day or one million tonnes per annum.

Mark Child, chairman and chief executive of Condor, said: "The site visit inspection prompted several technical questions, which have been formally answered. I remain confident that Condor is close to receiving permitting approval for Mina La India, which is expected to produce approximately 80,000 oz gold per annum from a single open pit."

The company has redesigned the open pit mine at the project and relocated the proposed processing plant so that the village of La Cruz de La India will not require resettlement.

Further changes include the possible elimination of the southern waste dump, the elimination of the road diversion in year three of production and the relocation of the explosives magazine.

"Last week I was in Nicaragua and held a very constructive meeting with the Minister of Energy and Mines. The re-designed mine site infrastructure has been well received and a potential obstacle to permitting has been removed," said Child.

As of 1222 BST Condor Gold’s shares were up 5.71% at 37.00p.