08:38 AM EDT, 03/31/2025 (MT Newswires) -- Dynacor Group ( DNGDF ) , trading near 52 week lows, on Monday said it agreed to acquire an Ecuadorian ore-processing mill from Australia's Arkham Metals for US$9.75 million to expand from its merchant gold mill in Peru.

The company said the acquisition of Arkham Metals SAS (Ecuador) brings a metals mill capable of processing up to 350 tonnes per day of gold, silver and iron ores and has permits in hand to handle up to 1,500 tonnes per day.

The company plans to spend up to US$8 million refurbishing the facility and expects to begin operations at the site within 12 months.

Dynacor ( DNGDF ) said the purchase remains conditional on board approvals and final due diligence, but said it has carried out multiple site visits, while completing an in-house technical evaluation of the facility and a third-party audit of the operation.

The company said the purchase offers "significant potential to enhance its global operational capacity and support its strategic plan goal of producing 500,000 (gold-equivalent ounces) and $1 billion in sales by 2030".

Separately, on Friday iolite Capital Management, a Switzerland-based investment manager, called a special meeting to elect Robert Leitz to Dynacor's ( DNGDF ) board on April 16 after a Quebec court refused to grant the company an injunction on the meeting call.

iolite said Dynacor ( DNGDF ) carried out an "unnecessary, heavily discounted, and unfair capital raise " and refused to answer questions from its largest shareholder or grant iolite a spot on its board.

Dynacor ( DNGDF ) shares closed down $0.17 or 3.3% to $4.89 last Friday on the Toronto Stock Exchange, leaving it near 52 week lows.