Tiernan Gold's Chilean Unit Signs Non-Binding MoU for Up to 120 Litres per Second of Desalinated Water

Tiernan Gold Corp.'s wholly owned Chilean subsidiary, Andina Minerals Chile SpA, signed a non-binding memorandum of understanding to evaluate supplying up to about 120 litres per second of desalinated water to the Volcan Gold Project in Chile's Atacama Region, Aktien reported on November 5, 2026.

How the Volcan Water Evaluation Would Work

The MoU covers a nine-month evaluation period, which the parties may extend by a further nine months by mutual agreement. During that period they expect to assess the technical, infrastructure, timing and commercial requirements of a potential water-supply arrangement. The 120 litres per second is a potential maximum for evaluation, not a reserved or committed volume, and the MoU is non-exclusive and obligates neither party to sign a definitive supply agreement.

If the evaluation supports further work, the parties may negotiate a definitive water purchase agreement. A potential framework includes an initial term of 15 years from the start of supply, with possible mutually agreed extensions. No water price, delivery start date or final commercial terms, including any take-or-pay mechanism, have been agreed.

"Water is a critical part of advancing Volcan, and this MoU gives us a practical framework to assess another potential source and delivery option," said Fausto Di Trapani, President and Chief Executive Officer. "Our EIA base case remains based on continental groundwater from our existing permitted wells. We will continue that work while evaluating alternative sources in parallel. The next step is to determine whether the potential supply, infrastructure, timing and economics could support a future definitive agreement."

Tiernan Gold's Volcan Project and Financing Records

According to akta.pro company records, Tiernan Gold holds a Measured and Indicated resource of 9.8 million ounces at Volcan, comprising a Measured Resource of 123,979 kt at 0.700 g/t Au (2,792 koz) and an Indicated Resource of 339,274 kt at 0.643 g/t Au (7,013 koz), for 463,253 kt at 0.658 g/t Au (9,804 koz). The same records show C$53 million secured to advance advanced engineering studies and support an Environmental Impact Study submission following the reverse takeover and TSX-V listing, and C$58.4 million raised in a subscription receipt financing that closed in November 2025 with 11,670,200 subscription receipts at C$5.00 per receipt.

Earlier Steps on the Volcan Workstreams

In May 2026, Tiernan Gold initiated parallel technical and environmental workstreams for the Volcan Pre-Feasibility Study, covering geology, mining, metallurgy and permitting, Newsfile reported. The company named Mario Marchese as Country Manager for Chile effective June 1, 2026, making him its senior in-country leader responsible for establishing Chilean operations and advancing Volcan, Stock Titan reported. In July 2026, Tiernan Gold announced Phase 1 metallurgical diagnostic leach results from 36 variability samples at Volcan showing a combined cyanide-soluble gold distribution averaging 75.1% across all samples, Stock Titan reported.

What Comes Next for the Water MoU

The parties may negotiate a definitive water purchase agreement if the nine-month evaluation supports further work, and any extension of the evaluation period requires mutual agreement. Further information is available on Tiernan Gold's website.