SolGold advances preliminary economic analysis at Alpala

Explorer SolGold's preliminary economic analysis on its Alpala project has progressed to "a very advanced stage", with the company now expecting to complete and release its report following peer review and QAQC procedures.

SolGold told investors on Tuesday that it has taken steps to ensure its PEA addresses "all identifiable major areas of material upside, risks and returns", with a view to maximising the project's modelled returns and long-run benefits to the Ecuadorian economy.

However, the AIM-listed firm noted that preliminary mine plan assessments and preliminary metallurgical data had been "more complex than originally anticipated", leading the company's consultants to conduct a number of initiatives to ensure the identification of best mining and metallurgical practices and development alternatives.

"These delays have been unavoidable but necessary to deliver a high-quality study," said SolGold.

Elsewhere, SolGold was still in the process of conducting drilling at its Cascabel site, with a focus on higher grade mineralisation to the North West and South East of the Alpala resource, and was also wrapping up formal documentation in preparation of its bid for Cornerstone Capital, announced on Monday.

As of 1040 GMT, SolGold shares had slid 3.48% to 38.80p.