Dynacor Group Inc. (TSX: DNG) has announced that its Veta Dorada plant in Chala, Peru, has been expanded to 500 tpd in ore processing capacity. The announcement follows a 25% capacity boost in mid-2021. We have seen an increase in our ore inventory level over the last few months due to our growing ASM producer network and ore supply. At the end of September, Dynacor’s inventory stood at more than 9,000 tonnes, the equivalent of twenty days of production at the previous processing capacity of 430 tpd. Ore inventory increased in October. A new monthly high is expected as management anticipates more than 13,000 tonnes of ore to be processed in November. Approximately $0.8 million was invested in areas including crushing, milling, desorbing, lab work, and transport in 2022 for this expansion.
Dynacor, through its Peruvian subsidiary, has become the ninth gold exporter in Peru for the first nine months of 2022, thanks to the Veta Dorada plant’s consistent rise in daily output over the last number of years.
According to Jean Martineau, President and CEO, The company’s network of ASM gold producers is seeing increasing demand, driven by more ASMs in Peru advancing through the formalization process. The company’s Veta Dorada plant is prepared to meet this demand.