Business
Silvercorp Metals Announces Project Update for El Domo
VANCOUVER, BC, Feb. 4, 2026 /CNW/ - Silvercorp Metals Inc. ("Silvercorp" or the "Company") (TSX/NYSE American: SVM) (the "Company") announces an update for its
About this update from Silvercorp Metals Inc.
[{"type":"text","content":" VANCOUVER, BC, Feb. 4, 2026 /CNW/ - Silvercorp Metals Inc. (\"Silvercorp\" or the \"Company\") (TSX/NYSE American: SVM) (the \"Company\") announces an update for its budget and construction schedule for the construction of the El Domo Project (the \"Project\"). The construction budget for the Project has been updated to $284 million, an increase of $44 million compared to the $240 million estimate dated March 31, 2025 (for reference, the 2021 Feasibility Study Budget was $248 million). The main items of increase or decrease are as follows: The VAT: rate has been revised from 10% ($19 million) to 15% ($35 million), resulting in a $16 million increase, which represents 36% of total budget growth. The Company expects to recover this VAT as a tax credit in the first year of operations once concentrate exports commence. Package #1 Construction: $5.1 million increase due to detailed design changes, construction of two rock buttress for waste dumps (SWD and WRF1) were added. The equipment and material purchases of the process plant have increased by $15 million due to: Some equipment was previously missing in both the April 2025 and 2021 Feasibility Studies, e.g. water recycling system from Tailing Storage Facility (\"TSF\"), SAG mill, regrind mill, bigger flotation cells and thickeners required to accommodate an increase in sulfur content from 9% (2021 Feasibility Study design) to 25% (current design) (~ $11 million). Logistics costs increased by $4 million (considering 15% of all equipment for sea freight, customs fees, storage, local transport, insurance, plus ~ 3.5% import tax), which was previously underestimated. The estimated construction and installation of the process plant have increased by $7.2 million based on the actual construction quotes for the 5000-square-metre ROM ore shack currently under construction. Bypass roads and access roads: $3.3 million increase mainly due to the upgrade of the new southern access road, so that 40-foot container trucks can pass. External powerline: added $2.3 million for payment on behalf of the Ecuador National Power Company (CNEL)for third-party supervision and land easements. Missing items such as Engineer of Record (\"EoR\"), and construction quality assurance and control (\"QA/QC\") supervision for TSF construction, site internal power distribution facil...