Newlox Gold signs 10-year JV agreement in Costa Rica

Executive Summary

• Newlox Gold Ventures Corp. entered into a definitive 10-year joint venture agreement with the legal operator of a strategic mining concession in Costa Rica, establishing a scalable framework for processing-as-a-service in jurisdictions permitting artisanal and small-scale mining (ASM).
• The company’s recently appointed management team has completed a review of Costa Rican assets, identifying the need for facility updates and safety protocols, with an operational update anticipated in the near term.
• The company announced a change in senior management, with Jeffrey Benavides departing as CFO and Alex MacKay assuming the role of Chief Financial Officer.

Key Details

• Joint Venture Structure: The agreement secures a 10-year partnership term with options for successive five-year extensions.
• Strategic Framework: The Costa Rica deal serves as a model for replication with qualified, licensed concession operators in other jurisdictions where ASM is legally permitted and environmentally responsible operations are prioritized.
• Operational Model: Newlox will provide strategic financing for expanded exploration, ore resource development, and the construction/operation of company-owned processing facilities.
• Technology: The company will deploy mercury-free, environmentally responsible processing technologies to reduce health and environmental risks compared to conventional methods.
• Financial Terms: Revenues from the sale of recovered precious metals will be distributed per commercial terms. Funds advanced by Newlox will be repaid from joint venture cash flows.
• Asset Review: Management conducted a thorough review of Costa Rican assets, leading to efforts to update the existing facility for proper efficiencies and safety protocols.
• Future Outlook: The company is actively evaluating targeted opportunities in additional jurisdictions and expects to announce further joint venture partnerships in the coming quarters pending due diligence and regulatory approvals.
• Management Change: Jeffrey Benavides has departed as Director and Chief Financial Officer. Alex MacKay has assumed the role of Chief Financial Officer.

Notable Quotes

• "This agreement in Costa Rica marks the launch of our broader strategy to become the leading provider of responsible, optimized, processing and development services to legal ASM operators across multiple jurisdictions." — Gary MacDonald, Chief Executive Officer