Lake Victoria Gold (TSXV: LVG; OTCQB: LVGLF; FSE: E1K) is pleased to provide an update on the construction progress of Nyati Resources’ gold processing plant in Tanzania, as well as on the progress of negotiations for a binding agreement.
David Scott, Managing Director for Tanzania and Director of Lake Victoria Gold, commented after a recent site visit: “It was impressive to see the scale and quality of the construction work first-hand. The Nyati team has created a well-designed plant with great attention to detail in all critical areas. With commissioning only weeks away, the plant is clearly in the final stages of completion. This plant will play a key role in implementing our development strategy in Tembo and beyond.”
Background Information on the Nyati Processing Plant
Nyati Resources operates a fully permitted gold processing plant on one of Tembo’s mining licenses. The site includes an operational 120-tonne-per-day Carbon-in-Pulp (CIP) plant and a second, significantly larger plant with a capacity of over 500 tonnes per day, which is nearing completion. Upon full commissioning, the total capacity is expected to exceed 600 tonnes per day. The project benefits from existing infrastructure, including grid power, backup power, an already constructed tailings facility, an on-site laboratory, and administrative support. The new plant is designed for scalable toll milling and third-party ore purchases and features such as two regrind mills and high-capacity leach tanks, designed for maximum recoveries and operational flexibility.
Construction Progress Nearing Commissioning
Construction of the Nyati plant is progressing steadily, and commissioning is expected within the next four to six weeks. Final site preparations and plant testing are currently underway.
• The Run-of-Mine (ROM) pad is being filled with low-grade base material until mineralized material is delivered for commissioning.
• The primary crushing circuit – including feed hoppers, gyratory grizzlies, jaw crushers, and conveyors – has been fully installed.
• The secondary crushers, feed hoppers, chutes, and double-deck screening systems are nearing completion.
• The mill feed hoppers and belt scales are installed and connected to the two primary ball mills.
• The grinding mills, the hydrocyclone plant, and the entire leaching circuit – including carbon handling, cyanide dosing, pumps, and agitators – are installed.
• The power supply is operational; a backup power supply has been installed to ensure continuity during power outages.
• All motors, pumps, and instruments are currently undergoing final dry testing.
Current images of the Nyati processing plant can be found at the following link:
Progress in Drafting a Binding Agreement between Lake Victoria Gold and Nyati
Lake Victoria Gold and Nyati Resources are in advanced negotiations for a binding agreement to formalize the strategic partnership originally outlined in the Letter of Intent signed on May 1, 2025. The proposed agreement is intended to grant LVG exclusive rights for ore processing and treatment at the Nyati plant, support the development of nearby mining licenses, and establish equity participation and revenue-sharing provisions.
Marc Cernovitch, President and CEO of Lake Victoria Gold, stated:
“The progress at Nyati is a significant milestone in our comprehensive strategy to unlock the value of our Tanzanian assets through intelligent and capital-efficient development. Partnering with a plant nearing commissioning allows us to accelerate production timelines while continuing to focus on exploration and growth. By finalizing a definitive agreement, we are laying the groundwork for a scalable platform that can support both near-term cash flow and long-term shareholder value.”
