This purchase contract represents an investment of approximately 5 million euros and represents one of the biggest milestones in terms of equipment acquisition within the planning of Muga Mine.

Geoalcali SLU and its parent, Highfield Resources (ASX: HFR) have signed on September 29, 2020, a contract for the purchase of a Joy brand full-section miner from Komatsu Mining Corporation (“Komatsu”) that will be used in the first stage of the construction of the ramps and later for the start method of the mineral.

Komatsu is an industry-leading manufacturer and supplier of equipment, technologies and services for the mining and construction markets. The company’s mining brands include Joy and P&H, which are used in the extraction and haulage of minerals in underground and surface mining.

The Muga Mine will be accessed via twin parallel declines from the surface, each over a length of 2.6 kilometres to a depth of approximately 350 metres below surface. The company plans to build the underground access of the mine with one miner bolter and two leased roadheaders. Having two different types of excavation equipment will provide operational flexibility.

The signing of the contract with Komatsu implies the deposit payment to ensure that the mine, that will be custom manufactured, will be ready for use at the start of construction of the mine ramps.

Ignacio Salazar, CEO of Geoalcali and Highfield Resources has said: “The signing of this contract with Komatsu is an important milestone and enables us to guarantee the necessary agility to start of construction of Muga Mine as soon as we receive the necessary authorizations.”