Galantas Gold to Acquire 20,000 TPD Crushing Plant for Andacollo Gold Project, Chile
Rhea-AI Summary
Galantas Gold (OTC:GALKF) has entered into a binding agreement to acquire a complete three-stage crushing plant and associated agglomeration equipment in Mexico for installation at its 100%-owned Andacollo Gold Project in Chile, for total consideration of US$4.2 million. Completion is subject to a definitive asset purchase agreement and customary regulatory, corporate, export, import and third-party approvals.
The plant has a nominal throughput capacity of about 20,000 tonnes per day and its good operating condition is reported by the seller, pending Galantas’ technical, legal and title due diligence. Galantas has engaged M3 Engineering & Technology to manage detailed engineering, disassembly, logistics, transport and reassembly. The company has mobilized its project team and reports active work on engineering, procurement, site infrastructure, mine planning, permitting and operational readiness, and expects gold production at Andacollo to begin in Q1 2027.
Positive
- US$4.2 million binding agreement for 20,000 TPD crushing plant
- Secures nominal 20,000 tonnes per day processing capacity for Andacollo
- Engagement of M3 Engineering to lead relocation and installation execution
- Company-guided target to commence Andacollo gold production in Q1 2027
- Restart program underway with engineering, procurement and site infrastructure progressing
Negative
- Acquisition completion subject to definitive agreement and multiple regulatory and third-party approvals
- Plant condition based on seller reports, with Galantas’ due diligence still ongoing
- Restart plan requires capital outlay of US$4.2 million for the crushing plant
News Explained
A binding but unclosed equipment acquisition states US$4.2 million of consideration while leaving payment form and dilution unspecified.
The July 13 release says Galantas has entered a binding agreement to acquire a three-stage crushing plant and associated agglomeration equipment in Mexico for installation at its 100%-owned Andacollo project.
The agreement states total consideration of
Although the release calls the facility “secured,” it describes an agreed transaction rather than a completed acquisition. The release does not specify whether the consideration is cash or equity and does not disclose dilution terms, so the ownership effect for existing common holders cannot be determined from this disclosure.
M3 has commenced detailed engineering and project-execution work, including disassembly planning, logistics, transport engineering, and preparation for reassembly and commissioning in Chile.
The plant is designed for nominal throughput of approximately
The key stated milestones are execution of the definitive asset purchase agreement, completion of due diligence, and receipt of the listed approvals.
News Market Reaction – GALKF
In the Jul 13 session, GALKF declined 30.00%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Major Milestone Significantly Advances Project Execution and Reduces Restart Capital
TORONTO, ON / ACCESS Newswire / July 13, 2026 / Galantas Gold Corporation ("Galantas" or the "Company") (TSX-V:GAL)(AIM:GAL)(OTC PINK:GALKF) announces that it has entered into a binding agreement to acquire a complete three-stage crushing plant and associated agglomeration plant equipment located in Mexico for installation at its
The crushing plant is designed for a nominal throughput capacity of approximately 20,000 tonnes per day and is reported by the seller to be in good operating condition, subject to Galantas' ongoing technical, legal and title due diligence. The acquisition represents a significant milestone in the Company's restart strategy and forms a key component of the planned development of the Andacollo Gold Project.
To execute the relocation of the plant, Galantas has appointed M3 Engineering & Technology Corporation ("M3"), an internationally recognized engineering firm with extensive experience in the design, construction and delivery of large mining projects throughout the Americas. M3 has commenced the detailed engineering and project execution activities, including plant documentation, disassembly planning, logistics, transportation engineering, and preparation for reassembly and commissioning in Chile.
With the crushing facility now secured, the Company expects gold production at Andacollo Gold to commence in Q1 2027.
Mario Stifano, CEO of Galantas, commented: "This acquisition is another major execution milestone for Galantas and materially advances the development of the Andacollo Gold Project. Securing a high-quality, proven crushing plant significantly reduces project execution risk, shortens the development schedule and represents substantial capital savings compared with constructing a new crushing facility. Together with our engineering partners at M3, we have now transitioned from project planning into active execution."
Robert Sedgemore, SVP of Operations of Galantas, continued: "Our project execution team is now fully mobilized at Andacollo Gold. Engineering has commenced, procurement activities are accelerating, site infrastructure work is progressing, and we continue to advance the permitting,
construction and operational readiness programs required to bring Andacollo Gold back into production."
Project Execution Underway
Galantas has assembled an experienced technical, engineering and operations team to lead execution of the restart program. Current activities include:
Detailed engineering for crushing plant relocation and installation
Site preparation and infrastructure upgrades
Procurement and contracting for key project work packages
Operational readiness planning
Mine planning and development activities
Recruitment and expansion of the Chilean operating team
Advancement of environmental, permitting and regulatory activities
Figure 1. Photos of the three-stage crushing plant being acquired by Galantas
About Galantas Gold Corporation
Galantas Gold Corporation is a publicly traded gold and copper company focused on the acquisition, development, and advancement of gold and copper assets in stable mining jurisdictions. The Company is currently advancing the development of the Indiana Project and the Andacollo Gold Project in Chile. Galantas' strategy is to build long-term shareholder value through disciplined capital allocation, technically rigorous project evaluation, and responsible development of high-quality mineral assets.
Neither TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release. The Company is admitted to trading on AIM and accordingly, further disclosure on the matter can be found on the Company's profile on the London Stock Exchange website.
The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
Enquiries
Galantas Gold Corporation
Mario Stifano: Chief Executive Officer
Email: info@galantas.com
Website: www.galantas.com
Telephone: +1 416-848-7744
Grant Thornton UK LLP (AIM Nomad)
Philip Secrett, Harrison Clarke, Elliot Peters
Telephone: +44(0)20 7383 5100
SP Angel Corporate Finance LLP (AIM Broker)
David Hignell, Charlie Bouverat (Corporate Finance)
Grant Barker (Sales & Brokering)
Telephone: +44(0)20 3470 0470
SOURCE: Galantas Gold Corporation
View the original press release on ACCESS Newswire