Antilles Gold advances its Cuban mining ambitions with a binding EPC contract signed and construction slated to begin early next year at the Nueva Sabana copper-gold project.
- Binding EPC contract signed with Shandong Xinhai for Nueva Sabana mine
- Construction expected to commence January 2026 with 12-month commissioning timeline
- US$30 million joint venture capital established with GeoMinera
- La Demajagua project development planned for 2027-28 focusing on antimony production
- Exploration drilling planned for 2026 at El Pilar and La Cristina copper-gold concessions
Joint Venture Progress and Strategic Partnerships
Antilles Gold continues to make significant strides in developing its Cuban mining assets through its 50, 50 joint venture with the Cuban state mining company GeoMinera. The joint venture company, Minera La Victoria SA (MLV), has established a solid foundation with US$30 million in capital, half contributed by Antilles Gold, to advance the Nueva Sabana and La Demajagua mines.
Crucially, the company has secured a binding engineering, procurement, and construction (EPC) contract with Shandong Xinhai Mining Technical Systems Inc, a major Chinese mining and engineering group. This agreement not only covers the EPC contract valued at US$29.5 million but also includes a credit facility deferring US$17.1 million of payments for up to two years post-construction, easing upfront capital pressures.
Nueva Sabana Mine, Ready for Construction
The Nueva Sabana copper-gold mine, fully permitted and construction-ready, is poised to begin site works in January 2026. The project aims to produce gold and copper concentrates under off-take agreements already signed with a major international trading group. Metallurgical testing indicates an initial 18-month production of gold concentrate from surface zones, followed by 36 months of blended copper-gold concentrate.
Following US$7 million spent on pre-development, approximately US$36 million remains earmarked for mine construction, including contingencies and commissioning. Detailed engineering for the concentrator is well advanced, with Xinhai confident of commissioning within 12 months of construction start.
La Demajagua and Exploration Outlook
The La Demajagua gold-silver-antimony project is scheduled for development in 2027-28, with a projected mine life of nine years and potential for underground operations thereafter. Rising antimony prices, now exceeding US$50,000 per tonne, have elevated the economic importance of this critical metal in the project’s scope. Discussions are underway with Xinhai to undertake the definitive feasibility study and potentially co-produce high-purity antimony ingots.
Exploration remains a key focus with drilling planned for 2026 at the El Pilar copper porphyry targets and the La Cristina copper-gold-molybdenum concession in the Sierra Maestra belt. These areas show promising geological signatures indicative of large porphyry systems, underpinning the company’s longer-term growth prospects.
Financial Position and Governance
Antilles Gold reported cash on hand of A$1.829 million at the end of September 2025, with detailed quarterly cash flows reflecting ongoing operational and development expenditures. Payments to related parties, including directors’ fees and management salaries, were disclosed transparently. The company confirms no material changes to prior mineral resource estimates or production targets, maintaining consistency in its technical assumptions.
With construction financing offers largely in place and key contracts signed, Antilles Gold is positioned to transition from pre-development to active construction, marking a pivotal phase in its Cuban mining ventures.
Bottom Line?
As Antilles Gold moves into construction, the next 12 months will be critical to validate its Cuban mining ambitions amid financing and operational execution risks.
Questions in the middle?
- Will Antilles Gold secure the remaining project financing to fully fund Nueva Sabana’s construction?
- How will geopolitical and operational risks in Cuba impact project timelines and costs?
- What are the prospects and timelines for advancing exploration targets into development?