(Sharecast News) - Lead, zinc and silver developer Europa Metals announced the successful completion of its formal mining licence application process for the Toral project on Monday.
The AIM-traded firm described the application as a critical milestone in its 2023 exploration campaign, as outlined in its definitive option agreement with Denarius Metals.
It said the application, submitted to the Junta of Castilla and Leon, included all necessary documentation covering exploitation, restoration, and environmental impact studies, outlining a 15-year mining plan with an average annual ore extraction of 700,000 tonnes from underground operations.
The company noted the project's potential to create economic opportunities in the region, explaining that over Toral's 18 years of operations, it was expected to generate more than 360 direct employment opportunities locally and approximately 1,400 indirect jobs.
"Following the completion of our last report, we are now very pleased to announce that we have completed the formal submission of the mining licence application to the Junta of Castille and Leon," said executive chairman and acting chief executive officer Myles Campion.
"This milestone for the Toral project has been achieved over the last three to four years with the application of dedicated teamwork through the process of exploration, evaluation and the prosecution of planning.
"The company has overcome a few hurdles during this period, Covid being one of them, but all thanks go to the team on the ground in Spain in being flexible and adapting to both physical and financial constraints and being able to achieve this milestone."
Campion said the company was looking forward to continuing its work with Denarius over the coming years.
"2024 will see the recommencement of drilling and work commence on a preliminary economic assessment."
At 0959 BST, shares in Europa Metals were up 15.68% at 2.14p.
Reporting by Josh White for Sharecast.com.
Europa Metals (EUZ)