Santacruz Silver Mining Ltd. has completed the acquisition of a 500-tonne-per-day milling facility in Bolivia, adding two 250-tonne-per-day processing circuits equipped with selective flotation systems for lead and zinc with high-grade silver contents.

The newly acquired plant sits approximately five kilometres from the Reserva mine within the Caballo Blanco group of mines and will be dedicated exclusively to processing ore sourced through the company’s San Lucas subsidiary. Diverting these materials to the new infrastructure frees up capacity at Santacruz Silver’s three existing mine processing facilities. That separation removes internal competition for milling space, allowing the company to advance its own mine development plans and increase production from its proprietary Bolivian operations.

Total investment in the milling facility is expected to reach approximately US$14 million, which encompasses the purchase price, commissioning, and all expenses required to bring the operation to commercial production. Santacruz has paid US$4.6 million toward the US$9.2 million purchase price, with the remaining US$4.6 million due on November 8, 2026, following receipt of the facility scheduled for October 8, 2026. An additional US$4.8 million is allocated for milling upgrades and working capital through the ramp-up phase.

Commissioning is slated for the fourth quarter of 2026, with commercial production targeted by the end of the year. The company anticipates higher consolidated production across its operating platform in 2027 as a result of the expanded processing network.

“This acquisition is a win-win for Santacruz's operating platform. The addition of 500 tpd of milling capacity gives San Lucas a clear path to continue increasing its volumes, while freeing up capacity at our existing milling facilities for ore from our own mines. This will allow our mining operations to advance their development and production growth plans without being constrained by milling capacity. This is exactly the type of operating leverage we look for at Santacruz-one investment that allows two parts of our business to grow at the same time.”

— Arturo Préstamo, Executive Chairman and CEO

The transaction strengthens Santacruz Silver's vertically integrated operating footprint in Bolivia as the company prepares for upcoming commissioning and production ramp-up milestones.

Read the full announcement: Santacruz Silver Acquires New 500-Tonne-Per-Day Milling Facility to Unlock Further Production Growth in Bolivia