Dynacor Gold Mines Inc.'s Peruvian subsidiary Minera Veta Dorada SAC agreed to purchase material mined by local artisanal miners at its Tumipampa gold property in Peru.
Minera Veta Dorada authorized a group of miners to carry out extraction work on a 5.7- hectare section in the high-grade vein zone. The company said May 29 it will process the material at its plant in Chala.
The artisanal miners started work in mid-May and first deliveries are expected in the coming days.
Dynacor noted that the artisanal mining sector covered by the agreement is located outside the exploration zone planned for the next drilling campaign at Tumipampa.
Drilling will start as soon as the company receives a new exploration permit covering a larger section of the property.