Hochschild Mining completed its acquisition of Amarillo on 1 April 2022, helping shares gain 1% to 130p in early trade on Monday morning.
The terms of the acquisition were circulated to shareholders in March 2022.
Hochschild Mining is a major precious metals firm that specialises in silver and gold exploration, mining, refining, and sales.
The company has been mining precious metal epithermal vein deposits, and currently owns and manages three underground epithermal vein mines with two in southern Peru and one in southern Argentina.
The mining group is also working on several long-term ventures throughout the Americas.
Amarillo is developing two gold properties in Brazil, both of which are near strong infrastructure and in mining-friendly locations. The Posse gold project is located in Goiás State on Amarillo’s Mara Rosa property.
It reported a favourable definitive feasibility study that demonstrated that it can be turned into a lucrative operation with low costs and a high financial return.
Mara Rosa further suggests that more near-surface deposits could be discovered, extending Posse’s mine life beyond the original ten years.
Ignacio Bustamante, Chief Executive Officer, Hochschild said, “We are delighted to have closed the acquisition of Amarillo which adds the exciting Posse project in Brazil to our portfolio. We can look forward to the commencement of construction and the opportunity to generate strong sustainable value for the Company and the project’s local stakeholders.”
