Great Panther Silver (TSE:GPR, NYSEMKT:GPL) has moved closer to finalising the acquisition, under a share purchase agreement, of the Coricancha gold-silver-lead-zinc-copper mine and mill complex (the CMC) from Nyrstar NV, expecting it to close in June.
The CMC lies in the central Andes of Peru, around 90 km east of the city of Lima.
A resource update is under way and is expected to be completed in the third quarter of 2017, the firm noted.
Recently, Great Panther and Nyrstar struck an amended share purchase agreement to reflect the reorganization of Nyrstar's investments in Peru to allow for the planned divestitures.
"The transaction is still subject to several customary closing conditions which the company and Nyrstar are aiming to complete before the end of June, 2017, or shortly thereafter," said Great Panther on Wednesday.
"Certain of these conditions depend on responses from third parties or authorities and therefore timing is subject to some uncertainty."
Once the deal is complete, Great Panther plans include further evaluations of the current mine and processing infrastructure, around 7,800 metres of underground drilling, environmental studies, and starting a preliminary feasibility study (PFS).
Depending upon the outcome of the PFS, development in support of operations could start in 2018.