11:52 AM EDT, 08/25/2025 (MT Newswires) -- (Updates shares.)

Avino Silver & Gold Mines ( ASM ) on Monday said it acquired 100% ownership of the La Preciosa project in Mexico by paying outstanding royalties and contingent payments owed to Deterra Royalties.

Avino agreed to make a US$13.25 million upfront payment followed by a US$8.75 million payment deferred for one year.

The company said eliminating the 1.25% net smelter returns royalty on the project's Gloria and Abunduncia veins and the 2.00% gross value returns royalty on the remainder of the La Preciosa resource will lower La Preciosa's cash production costs.

"This cornerstone asset is now materially unencumbered, and this transaction represents a unique investment opportunity for Avino, as operators rarely get the chance to increase project value through the purchase of previously granted royalties," said chief executive David Wolfin.

Avino said it funded the upfront payment with its existing cash on hand, which was approximately US$48 million. It also expects to settle the deferred payment through cash.

The company said drilling continues at La Preciosa as it plans to update the current mineral resource estimate for La Preciosa as well as the Avino property.

Avino shares were last seen up $0.33 to $5.91 on the Toronto Stock Exchange.

Price: 5.91, Change: +0.33, Percent Change: +5.91