Canada-based Aya Gold & Silver on Monday announced a transaction with the government of Morocco, which not only increased its ownership of the Zgounder silver mine to 100%, but also the review and evaluation of additional exploration ground in the country.
The TSX- and OTCQX-listed company reached an agreement with the National Office of Hydrocarbons and Mines (ONHYM) to acquire its 15% interest in the Zgounder project and five adjacent permits for 67-million dirhams (about $6.5-million).
ONHYM will maintain its 3% royalty on the Zgounder property, and a 3% royalty is granted on production coming from the new permits.
“This deal is very accretive for all stakeholders and speaks to our strong relationship with ONHYM and the government of Morocco,” said president and CEO Benoit La Salle.
Aya recently said that its Zgounder mine would meet its guidance for the year, which was set at between 1.65-million and 1.80-million ounces.
An expansion to 2 700 t/d is under way, which will quadruple production to 6.5-million ounces a year.