Salazar Resources Limited (CVE:SRL) and its partner Adventus Mining Corporation (CVE:ADZN) (OTCMKTS:ADVZF) have temporarily suspended activity at the Curipamba, Pijili and Santiago projects in Ecuador in line with measures to prevent the spread of the coronavirus.
Salazar has also suspended site activities at its other wholly-owned projects in Ecuador, which declared a state of emergency from March 17.
Work, including drilling at the projects, had restarted in the last few weeks.
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"Our team together with our partner Salazar have worked hard to recently start three drill rigs at our Curipamba project and completed the groundwork to start exploration drilling at our Pijili and Santiago projects in the second quarter of 2020, but our excitement must now be balanced with patience as we tackle this greater public health challenge together," said Adventus CEO Christian Kargl-Simard in a statement.
"The economics of our El Domo deposit and exploration potential within Curipamba remain robust at spot pricing due to the high copper grades and significant gold credits. To our valued shareholders, we look forward to continuing our very exciting progress once we can restart site activities," he added.
Some environmental studies have also been suspended, including the recently started hydro-geological drilling program, which may result in a minimum six-month delay to the original environmental and social impact assessment (ESIA) development timeline.
The feasibility study earn-in requirement of October 5, 2021 on the El Domo deposit within the Curipamba project will be delayed by the number of days that site activities are shut down for starting from March 17 this year, added Salazar.
Both Adventus and Salazar have strong treasuries and can self-fund an extended care and maintenance scenario on the projects well into 2021, the firms added.
"We hope that by acting quickly now the Government of Ecuador will be able to shorten the time to lift the travel restrictions and allow economic activity to return to the country. We look forward to resumption of our work programs both with Adventus and at our 100% owned properties for the benefit of all our stakeholders," added the Salazar chief Fredy Salazar.
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