Amigo Resources PLC (LON: AMGO) has reported progress on the expansion of its Mojimoto and Kabete operations in Tanzania, as both sites move from pilot processing towards larger-scale production.
All major crushing, grinding, gravity recovery and secondary leaching equipment required for the expansion has now arrived at both locations.
Installation, electrical integration and civil works are under way, with the company targeting completion of assembly during Q4 2026.
Each operation is designed for approximately 300 tonnes per day of processing capacity, giving Amigo a planned combined capacity of 600 TPD once both plants are fully commissioned.
The new circuits are being configured to process both fresh run-of-mine ore and historical tailings, providing flexibility over feed sources.
Amigo is also installing equipment designed to recover a PGM-bearing concentrate alongside gold production.
That concentrate could eventually be used in a proposed copper-matte processing route in Tanzania.
Amigo and AK Corporation have mobilised a stationary reverberatory smelting furnace and induction furnace to support initial metallurgical work.
However, the proposed pyrometallurgical route remains subject to successful test work, economic assessment and detailed engineering and should not yet be treated as a commercial operation.
The company also cautioned that its Tanzanian operations currently have no JORC Mineral Resource or Ore Reserve.
Management’s internal forecast assumes gold recovery of approximately 2.5-3.0 grams per tonne of processed material.
At the proposed 300 TPD capacity, Amigo estimates that each plant could produce around 20-25 kilograms of gold per month.
Those figures are internal operational forecasts rather than independently defined JORC resources or reserves and will need to be demonstrated through sustained commercial-scale production.
Final environmental approvals also remain outstanding for the use of specific chemicals within the leaching circuits.
Commercial production at both sites is therefore expected during Q4 2026, subject to those clearances and successful commissioning.
Amigo has temporarily paused monthly production reporting while pilot infrastructure is dismantled and the new plants are installed.
Regular reporting covering gold production, physical sales and realised revenue is expected to resume once the plants are commissioned and operations have stabilised.
For investors, the key development is the planned step-change from pilot processing to 600 TPD of combined installed capacity.
The major near-term tests are whether Amigo can complete commissioning on schedule, obtain the remaining environmental approvals and demonstrate that its internal recovery and production assumptions translate into sustained commercial output and cash generation.
