LUCA ADVANCES STUDY TO OPTIMIZE CAMPO MORADO AND INCREASE GOLD AND SILVER PRODUCTION
Luca Targets High-Margin Expansion as Campo Morado Evolution Moves from Optimization to Scale
The most recent news (February 18, 2026) announces that Luca Mining’s board has approved a formal mill optimization and expansion study (the Campo Morado Expansion or "CME") to be delivered as an NI 43-101 technical report in the second half of 2026. The company has engaged Ausenco PTY Ltd. to lead the study. The CME will be executed in two phases: Phase 1 focuses on a bulk sulphide flotation flowsheet with increased grinding capacity to improve recoveries and throughput. Phase 2 evaluates recovering gold and silver into doré from a pyrite concentrate. Concurrently, an updated Life of Mine (LOM) plan will incorporate the Reforma and El Rey deposits, which have recently returned significant high-grade drill results. Management anticipates funding a large portion of the expansion through existing cash flow.
This news is materially positive as it marks the transition from a "turnaround" phase to a "growth and expansion" phase.
- Unlocking Metallurgical Value: Campo Morado has historically struggled with complex metallurgy. Phase 2's focus on pyrite concentrate-to-doré is a critical technical pivot that could significantly increase payable precious metal production, which currently acts as a secondary credit.
- Resource Integration: Moving the Reforma and El Rey deposits into a formal mine plan (incorporating the results from the January 2026 drilling of 55.8m of 5.90 g/t AuEq) suggests a significant extension of the LOM and higher head grades than historical averages.
- Financial Validation: The ability to fund expansion from cash flow, following the January 19, 2026 announcement that the company achieved guidance and cleared nearly all debt, removes the "dilution overhang" that typically plagues junior producers during expansion cycles.
Luca Mining Corp. is a Canadian-based producer with two primary assets in Mexico. - Campo Morado (Guerrero): A VMS polymetallic mine. It is currently the primary cash flow driver, undergoing a shift to produce three separate concentrates (Copper, Zinc, Lead) and now exploring a pyrite-to-doré expansion. - Tahuehueto (Durango): A high-grade epithermal gold-silver mine. Construction was completed in mid-2024, and it declared commercial production in March 2025. It targets ~50,000 oz AuEq annually.