Antioquia Gold to develop underground mine at Cisneros

For a junior company trading for pennies, Antioquia Gold (TSXV: AGD; US-OTC: ANTZF) has a lot of fire power behind it.

Consorcio Minero Horizonte (CMH), a privately held mining company in Peru, learned about Antioquia’s Cisneros project in Colombia about five years ago, and since then has become the junior’s largest shareholder, with an ownership stake of about 54%.

Equally exciting is that CMH has agreed to pony up half of the US$40 million Antioquia will need to build an underground mine at Cisernos, freeing the junior from having to raise money through a dilutive equity financing.

The remainder of the funds will be generated from the cash that is expected to start to flow next year from the small 500-t/d mining operation. Antioquia believes the underground mine, 55 km northeast of Medellin, will start operating in mid-2016.

Read the complete article at NorthernMiner.com/news/antioquia-gold