07:08 AM EDT, 07/10/2024 (MT Newswires) -- Galantas Gold ( GALKF ) on Wednesday agreed in principle to a proposal from shareholder G&F Phelps to develop a solar power facility at the Cavanacaw Gold Mine at the Omagh Project in Northern Ireland.

The two-megawatt facility, with battery storage, will provide lower cost power than existing diesel generation, with a significantly lower carbon footprint. Surplus power is expected to be sent to the local grid.

As part of the deal, G&F Phelps, which is controlled by former Galantas CEO Roland Phelps, will rent rehabilitated land comprised of former tailings cells and a filled southern section of the former open pit. G&F Phelps is expected to provide most of the capital, recouping the cost from the power generated.

The proposal is subject to a cost study, impact assessment and planning permission.