Curated News
By: NewsRamp Editorial Staff
January 28, 2026
Silvercorp Metals Completes $92M Kyrgyz Gold Project Acquisition
TLDR
- Silvercorp Metals gains a strategic advantage by acquiring a 70% operating interest in Kyrgyz gold projects, expanding its portfolio and securing long-term mining rights until 2062.
- Silvercorp completed the acquisition by paying $92 million, converting the asset into a joint venture with Kyrgyzaltyn, and will extend mining licenses with a future $60 million payment.
- This acquisition supports responsible mining and ESG commitments, potentially creating sustainable economic opportunities and community development in the Kyrgyz Republic through long-term operations.
- Silvercorp's $92 million deal secures gold projects in Kyrgyzstan, with mining rights extended to 2062, showcasing global expansion in the mining sector.
Impact - Why it Matters
This acquisition matters because it represents a significant expansion for Silvercorp Metals into a new, gold-focused jurisdiction, potentially diversifying its revenue streams beyond its core silver-lead-zinc operations. For investors, it signals aggressive growth through M&A, a key pillar of the company's strategy, and could enhance long-term resource reserves and production profiles. The successful navigation of government approvals and establishment of a joint venture with a state entity also reduces political risk and secures local partnership, which is crucial for long-term mining projects in Central Asia. This move could strengthen Silvercorp's market position and offer exposure to gold's price dynamics, impacting shareholder value and the competitive landscape of mid-tier mining companies.
Summary
Silvercorp Metals Inc., a Canadian mining company with a track record of profitability in silver, gold, lead, and zinc production, has successfully completed a major strategic acquisition. The company finalized its purchase of Chaarat ZAAV CJSC from Chaarat Gold Holdings Limited for $92 million, following a crucial waiver from the Kyrgyz government. This transaction transforms ZAAV into a joint venture with Kyrgyzaltyn, a state-owned entity of the Kyrgyz Republic, establishing a powerful partnership where Silvercorp holds a 70% operating interest and Kyrgyzaltyn retains a 30% free-carried interest. The core of this deal revolves around the Tulkubash and Kyzyltash gold projects, with the joint venture now positioned to seek a significant 30-year extension of the mining license from 2032 to 2062, contingent on a future $60 million payment to the National Investment Agency.
This acquisition is a cornerstone of Silvercorp's broader corporate strategy, which emphasizes generating free cash flow from long-life mines, pursuing organic growth through exploration, and executing value-unlocking mergers and acquisitions. The move significantly expands Silvercorp's asset portfolio and operational footprint into a new, resource-rich region. For investors and stakeholders following the company's newsroom, this represents a substantial step in its growth narrative. The announcement was disseminated through the MiningNewsWire platform, part of the expansive Dynamic Brand Portfolio at IBN, which provides specialized communications and distribution services to the global mining sector, ensuring the news reaches a wide audience of investors and industry observers.
The involvement of key players like Chaarat Gold Holdings Limited, the Kyrgyz government through Kyrgyzaltyn and the National Investment Agency, and the facilitating role of MiningNewsWire underscores the complex, international nature of modern resource development. Silvercorp's commitment to responsible mining and ESG principles remains a stated part of its long-term strategy as it integrates this new venture. This transaction not only secures potential long-term gold production assets but also demonstrates Silvercorp's financial capacity and strategic ambition to grow through targeted acquisitions in promising jurisdictions, aligning with its goal of creating sustained shareholder value.
Source Statement
This curated news summary relied on content disributed by InvestorBrandNetwork (IBN). Read the original source here, Silvercorp Metals Completes $92M Kyrgyz Gold Project Acquisition
