What happened to the Titan Minerals share price?
At the time of writing, shares of Titan Minerals Ltd [ASX:TTM] are up by 25% to 3 cents per share.
Why did Titan Minerals Ltd shares do this?
The company agreed to non-binding terms to acquire up to 85% of the Las Antas gold project in southern Peru. Subject to the parties agreeing and executing a formal binding agreement, upon satisfying certain conditions, the company will be granted an exclusive option to acquire an initial ownership of 60% in the project.
What now for Titan Minerals Ltd?
Titan owns two gold mills in Latin America ― Tulin and Vista. It’s upgrading the Vista gold plant, which should ‘come online’ next quarter, according to the company. The Vista gold plant is expected to process ― at least ― 150 tonnes of ore per year, three times Tulin’s capacity. The plant can be upgraded later to process 350 tonnes per day with minimal capital outlay, when warranted by supply of ore.
In my mind, the latest acquisition is an important step towards the company becoming a major operator in the region. It generates multiple options with potential to provide high-grade feed to the Tulin and Vista gold production plants.
The bottom line: it’s certainly an exciting time for the company. If Las Antas produces high quality feed stock for the company’s plants, the future looks bright for shareholders. But, at the moment, the company still needs to acquire the project; however, we like how the story’s progressing.
Resources Analyst, Markets & Money
PS: Interested in mining stocks? My free new investor report, ‘The Top 10 Mining Stocks for 2018’, does exactly what it says in the name. I look at 10 companies that could potentially make you huge money this year, and beyond. To download that report free, go here.