Mergers & Acquisitions
Cerro de Pasco Resources Pays $6.65 Million to AMSAC for 100% of Quiulacocha Tailings
By News Desk ·
Key takeaways
- Cerro de Pasco Resources paid $6.65 million at closing for 100% of the Quiulacocha tailings and a surface usufruct of up to 30 years over approximately 123 hectares.
- The company will pay AMSAC an annual usufruct fee of $1.435 million and fund a social trust with $1.04 million upfront and $260,000 per year during operations.
- The transaction remains subject to acceptance by the TSX Venture Exchange, and the company will apply to the Ministry of Energy and Mines for reprocessing authorization.
Cerro de Pasco Resources signed definitive agreements with Activos Mineros S.A.C. to acquire 100% of the Quiulacocha tailings and a surface usufruct of up to 30 years over approximately 123 hectares, paying $6.65 million at closing on October 20, 2026. Stock Titan reported the agreements.
Cerro de Pasco Resources is a Canadian-incorporated mining development company reprocessing historic silver, zinc, lead, copper and critical-metals tailings at its El Metalurgista concession in Cerro de Pasco, Peru, according to akta.pro company records. AMSAC is a Peruvian state-owned company responsible for the remediation of legacy mining environmental liabilities.
Cerro de Pasco's Quiulacocha Transfer and Usufruct Terms
The subsidiary Cerro de Pasco Resources del Perú S.A.C. signed the Transfer Contract and the Surface Usufruct Contract with AMSAC on October 20, 2026, under Public Auction No. 001-2026-AMSAC. The consideration is payable entirely in cash, plus applicable taxes, and comprises a transfer price of $3.8 million, a usufruct premium of $1.4 million and a first annual usufruct fee of $1.4 million, for a total of $6.7 million paid at closing. Cerro de Pasco Resources del Perú will then pay an annual usufruct fee of $1.4 million for the term of the usufruct.
The transfer covers the tailings only, identified as mining environmental liability ID No. 6752 over a residue area of approximately 128.07 hectares, and excludes land, plants, infrastructure and acid water treatment systems owned by AMSAC. The usufruct covers approximately 123.39 hectares within Parcel K, including 13 existing ancillary works, of which 42.47 hectares overlap with the El Metalurgista concession. The company will also fund a private trust with a first contribution of $520,000 at its constitution, a second contribution of $520,000 within 45 days of EIA approval, and annual contributions of $260,000 from the start of the operation phase.
Guy Goulet, CEO of Cerro de Pasco Resources, said: "Signing these agreements secures the part of the Quiulacocha tailings that we did not yet hold. With rights over the entire tailings and a 30-year usufruct over the land, we have the certainty of tenure the Project needs. We thank AMSAC and its Sale Committee for the conduct of the process."
Cerro de Pasco's Earlier Quiulacocha Steps
Cerro de Pasco Resources won the public auction for the Quiulacocha tailings, awarded by AMSAC on October 12, 2026, GlobeNewswire reported. In March 2026 the company entered a strategic collaboration with AMSAC granting full surface access to the entire Quiulacocha Tailings Storage Facility for drilling, geotechnical and environmental work, with an agreement value of approximately US$2.1 million, according to the same records. In December 2025 the Community of Quiulacocha approved a two-year renewable surface use agreement, formalized before a public notary.
Cerro de Pasco's Next Steps at Quiulacocha
The transaction remains subject to acceptance of the TSX Venture Exchange. The pre-operational phase begins with the application for reprocessing of the tailings to the General Directorate of Mining of the Ministry of Energy and Mines, and is intended to support a first Mineral Resource Estimate and future submission of the EIA.