Golden Minerals Co. said Aug. 3 that it extended a lease agreement with Hecla Mining Co. subsidiary Minera Hecla SA de CV for the Velardena oxide plant in Durango, Mexico.

Under the new agreement, Hecla can extend the lease for up to two years, ending no later than Dec. 31, 2020, in exchange for a total of US$2 million in cash and shares.

Hecla leased the plant for an initial 18-month term beginning July 1, 2015, in which it extended the lease multiple times, and before the current agreement, it was scheduled to run until Dec. 31, 2018.