VANCOUVER, Oct. 17, 2016 /CNW/ - INCA ONE GOLD CORP. (TSX.V: IO) ("Inca One" or the "Company") is pleased to provide the following update on operations from its wholly owned subsidiary Chala One SAC ("Chala One").
Inca One has begun operating a newly completed, in-house smelter facility at its Chala One mill site -- successfully pouring and exporting in excess of 16 kilograms of gold since September 13, 2016. With this recent production enhancement, Inca One has completed the vertical integration of another key process at Chala One. Every step in the processing stage from weighing and testing raw material through to the final steps of smelting and pouring gold dore (prior to exporting to our Swiss refining partners) is now controlled solely at Chala One.
Inca One has recently completed a restructuring including a share consolidation, financing of $6.3 million, and conversion of approximately $10 million of debt into equity. The Company is now financed and only has 57.3 million shares outstanding. The financing has provided the Company with the working capital required to ramp up material purchasing and production activities. Stockpiles are accumulating and the average daily processing has continued to climb strategically as per management's ramp up expectations. All circuits are performing as projected and it is anticipated that throughput will reach fully permitted production levels within our projected timelines over the coming months.
"I am extremely pleased with ramp up activity and increasing throughput at Chala One," said President and CEO Edward Kelly, further noting that, "Looking forward, we will continue to focus on increasing production, and sourcing mineral purchases with profitable deal terms and favourable recovery."
About Inca One
Inca One is a Canadian-based mineral processing company with a gold milling facility in Peru, servicing government-permitted, small-scale miners. As part of the terms of the original purchase agreement for the Chala, Peru processing facility, Inca One has an agreement between its wholly owned subsidiary, Chala One SAC, and the seller and initial permit applicant, to operate under the umbrella of formalization until the successful completion of all the environmental and operating permits. Peru, a highly mineral-rich country, is one of the world's top producers of gold, silver, copper and zinc, with substantial production coming from small scale miners who need government permitted milling facilities to process their mineral (such as the Company's Chala Plant).
On behalf of the Board,
Edward Kelly,
President and CEO
INCA ONE GOLD CORP.