Recent announcement from Aura Mines is a positive step for Mining in Guatemala

About this update from Volcanic Gold Mines Inc.

Recent announcement from Aura Mines is a positive step for Mining in Guatemala (TheNewswire) January 13, 2026 – TheNewswire - Vancouver, British Columbia – Volcanic Gold Mines Inc. (TSXV: VG) (“Volcanic” or “the Company”) is pleased to note the announcement on January 6th that Aura Minerals Inc., the owners of the Era Dorado Project (previously known as the Cerro Blanco gold deposit) have received a construction license and have commenced early works on the development of an underground mine. (See news release January 6, 2026 Aura Minerals Inc. (NASDAQ: AUGO)) This marks a significant milestone for the advancement of this project and for the future of mining in Guatemala. With a stated aim of producing over 1.6 Moz gold at a rate of 100-120 koz per year, the Era Dorada mine will provide a significant boost to the local and national economy (see news release December 8, 2025 -- Aura Minerals Inc. (NASDAQ: AUGO)). The management of Volcanic has believed for some time that the start of construction of an underground mine at Era Dorado would be an important step for the development of Volcanic’s nearby Holly project. The Holly project is located some 40 km north of Aura’s Era Dorado project, is connected by paved road, and has an inferred mineral resource of 1.32 million tonnes at 6.46 g/t Au and 256 g/t Ag(1) for 270,000 oz contained gold and 11 Moz contained silver. The Company believes that Holly has potential to be developed as an underground mine. Despite good support from many of the communities of the area, some groups within the local and municipal councils have stated that they oppose the project. Development of the nearby Era Dorado mine in an environmentally and socially responsible manner should alleviate some of the opposition’s concerns. Volcanic’s management believe that it is important to have majority support and unilateral acceptance before resuming exploration and development of the Holly project. Simon Ridgway, President and Chief Executive Officer of Volcanic Gold Mines, commented: "Since 2022, when demonstrations resulted in suspension of our drilling campaign, we have worked with the local community promoting the benefits of restarting work at the Holly Project.  There is now an opportunity for the inhabitants of the area to see the advantages that resp...

View stock analysis, news, and events for Volcanic Gold Mines Inc.