Peruvian Metals Provides Corporate Update on Production, New Tailings Results and the Process to Re-Instate the OTCQB Listing

Peruvian Metals posts strong plant output, high recoveries, and starts expansion in Peru.

What the company is saying

Peruvian Metals Corp highlights operational stability at its 80%-owned Aguila Norte Processing Plant, emphasizing 21 consecutive months of full production and 3,142 metric tonnes processed in October. The company frames the narrative around consistent throughput, cumulative processing of over 227,000 tonnes since 2017, and the start of civil works for plant expansion, including a second ball mill. Management stresses high metallurgical recoveries—93% for gold and 87% for silver—supported by recent tailings sampling that averaged 2.17 grams gold and 87 grams silver per tonne. The company also announces the process to reinstate its OTCQB listing in the United States, positioning this as a move to enhance liquidity and visibility for U.S. investors. CEO Jeffrey Reeder is quoted attributing positive operating cash flow to the facility and expressing confidence in the benefits of the U.S. listing. The announcement uses confident, forward-looking language but grounds its claims in operational data.

What the data suggests

The plant processed 3,142 metric tonnes in October and has maintained full production for 21 consecutive months, demonstrating operational consistency. Since 2017, cumulative throughput exceeds 227,000 tonnes, indicating a sustained production track record. Thirty-one tailings samples averaged 2.17 grams gold and 87 grams silver per tonne, with gold grades ranging from 1.50 to 3.00 grams and silver from 1.66 to 4.49 ounces per tonne. At current prices of $4,000/oz gold and $50/oz silver, this equates to 0.108 oz gold equivalent per tonne. Metallurgical test work confirms high recoveries—93% for gold and 87% for silver—supporting efficient extraction. Civil works for a second ball mill are underway, with completion targeted for early next year, signaling near-term capacity growth. The plant holds an IGAC environmental permit, allowing expansion beyond 100 tonnes per day. The company is in the process of reinstating its OTCQB listing, but no timeline or direct financial impact is disclosed. No revenue, cost, or cash flow figures are provided, though positive cash flow is referenced qualitatively.

Analysis

The announcement provides substantial realised operational data, including 21 consecutive months of full production, October throughput, cumulative tonnes processed, and detailed metallurgical results. Expansion activities are underway, with civil works for a second ball mill in progress and expected completion in the new year, indicating near-term execution. However, the narrative inflates the impact of the OTCQB listing reinstatement, suggesting enhanced liquidity and visibility without evidence or quantification. The expansion is capital intensive, but no capex figures or immediate earnings impact are disclosed. While operational cash flow is referenced, no explicit financial metrics (revenue, EBITDA, net income) are provided, limiting the ability to assess value creation. The tone is upbeat and forward-looking, but most claims are supported by current or recent operational facts, with only moderate promotional language.

Risk flags

• ●Expansion execution risk is present, as civil works for the second ball mill are ongoing but lack detailed progress metrics or capex disclosure. Delays or cost overruns could impact near-term growth.
• ●The impact of the OTCQB listing reinstatement on liquidity and investor awareness is uncertain, as the company provides no quantitative targets or evidence that U.S. market access will materially affect trading volume or valuation.
• ●Financial transparency risk exists because the company does not disclose revenue, costs, or cash flow figures, making it difficult for investors to assess profitability or the financial impact of expansion.

Bottom line

Peruvian Metals is delivering consistent plant output and high metallurgical recoveries at its Aguila Norte facility, with 3,142 tonnes processed in October and 21 months of full production. The company is moving ahead with expansion, as civil works for a second ball mill are underway and expected to be ready in the coming months, which could increase capacity. Recent tailings sampling confirms attractive gold and silver grades and recoveries, supporting the plant's operational efficiency. The process to reinstate the OTCQB listing may broaden U.S. investor access, but its real impact on liquidity remains unproven. The absence of explicit financial data limits visibility on profitability and cash generation. The key takeaway is that operational momentum is strong and near-term expansion is progressing, but investors should watch for more financial detail and evidence of market impact from the U.S. listing.

Announcement summary

(TSXV:PER) Peruvian Metals Corp provided a corporate update on 2026 production at its 80% owned Aguila Norte Processing Plant in Northern Peru, new tailings sample results, and the reinstatement process for its OTCQB listing in the United States. In October, the Aguila Norte Plant processed 3,142 metric tonnes and has now achieved full production for 21 consecutive months. Since 2017, the Plant has processed over 227,000 tonnes. The Plant is on track to achieve another year of full capacity production. Civil works have commenced for the expansion of the Plant, including construction of a new platform to host a second ball mill, with civil works ongoing and expected to be ready in the new year. Tailings material was extracted from an area of approximately 1,250 square metres, ranging 1 to 2 metres in depth, and placed near the flotation circuit for drying. Thirty-one samples from this material returned an average of 2.17 grams gold per metric tonne and 87 grams silver per metric tonne. Gold results ranged from 1.50 to 3.00 grams per metric tonne, and silver ranged from 1.66 to 4.49 ounces per metric tonne. At current gold and silver prices of approximately $4,000 US and $50 US per ounce respectively, this equates to 0.108 ounces gold equivalent per metric tonne. Metallurgical test work confirmed high recoveries of gold and silver at 93% and 87% respectively. The company has started the process to reinstate its OTCQB listing in the United States, which is recognized by the SEC as an established public market for determining public market price when registering securities for resale. Jeffrey Reeder, Chief Executive Officer of Peruvian Metals, stated that the Aguila Norte facility continues to achieve positive operating cash flow and that reinstatement on the OTCQB is expected to enhance liquidity and visibility. Metallurgical work was performed by Jose Orlando Moncada Rejas, Ing, the main metallurgist at Aguila Norte, and assaying was conducted by Procesmin Ingenieros SRL in Caraz Ancash. The Aguila Norte plant holds an environmental permit (IGAC) from the Peruvian government, allowing expansion beyond the current 100 tonnes per day level.

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