Cerro de Pasco has Quiulacocha tailings facility access

Executive Summary

• Cerro de Pasco Resources has entered into a strategic access and investigation agreement with Peruvian state-owned entity Activos Mineros SAC (AMSAC), securing surface access to the entire Quiulacocha tailings storage facility.
• The agreement marks a major project milestone, transitioning the Quiulacocha tailings reprocessing project into its next development phase by enabling comprehensive technical and environmental studies.
• Cerro de Pasco will pay approximately $2.1 million USD (7.2 million Peruvian soles) for the initial term, with initial drilling programs targeted for mid-2026 and plans to file for sectorial authorization to begin the Environmental Impact Assessment (EIA).

Key Details

• Counterparty: Activos Mineros SAC (AMSAC), a Peruvian state-owned entity responsible for remediation of legacy mining environmental liabilities.
• Access Scope: Full surface access to the Quiulacocha tailings storage facility, including areas located outside Cerro de Pasco's existing El Metalurgista concession.
• Financial Consideration: ~7.2 million Peruvian soles (~$2.1 million USD) over the initial term, with contractual flexibility for extension to support continued technical and permitting milestones.
• Authorized Technical Program: Resource and definition drilling, geotechnical and hydrogeological drilling, surface and subsurface geophysical surveys, environmental baseline studies and monitoring programs, installation of instrumentation and data collection systems, and access to historical technical/environmental datasets.
• Project Timeline & Permitting: Initial drilling programs targeted for mid-2026 (subject to standard permitting and operational planning); a new reprocessing application will be filed with the mining agency to secure sectorial authorization for EIA preparation.
• Strategic Evolution: Replaces a 2024 government-imposed easement (limited portion, two-year term) with a collaborative framework covering the entire tailings footprint, aligning both parties on a coordinated technical and environmental remediation approach.
• Next Development Steps: The authorized work streams will form the foundation for a future mineral resource estimate, feasibility studies, and the comprehensive EIA required to advance the project toward long-term development.

Notable Quotes

• Guy Goulet, CEO: "This is a major milestone for the Quiulacocha project and one that our shareholders have been waiting for. Securing access over the entire tailings area allows us to move decisively into execution, advancing drilling, technical studies and the work required to bring this project through permitting."
• Guy Goulet, CEO: "This agreement establishes the operational and collaborative framework required to advance toward a long-term development solution for the Quiulacocha tailings. Just as importantly, it reflects a constructive and collaborative relationship with AMSAC, which we believe will be critical as the project progresses."