Silvercorp Secures 30-Year License Extension, Pays $60M for Tulkubash/Kyzyltash JV
Silvercorp converted Chaarat ZAAV CJSC into a 70/30 JV with Kyrgyzaltyn and secured a new mining license extending Tulkubash/Kyzyltash gold project rights from June 25, 2032 to June 25, 2062. The company paid $60 million upfront and approved Phase 1 development for 2026-2027.
1. Joint Venture Formation
Silvercorp completed the conversion of Chaarat ZAAV CJSC into a joint venture company with Kyrgyzaltyn, holding a 70% operating interest. Kyrgyzaltyn retains a 30% free-carried stake under the Shareholders Agreement.
2. Mining License Extension and Payment
ZAAV applied for and received a new mining license extending its rights over approximately 7 km² of mining and 27.42 km² of exploration ground at Tulkubash/Kyzyltash from June 25, 2032 to June 25, 2062. Silvercorp made a $60 million cash payment upfront and will remit an additional $10 million after achieving specified milestones.
3. Phase 1 Development Approval
At its inaugural shareholder and board meetings, ZAAV appointed a General Manager and CFO and approved Phase 1 development for Tulkubash scheduled for 2026–2027, marking the start of construction activities ahead of production.