09:21 AM EDT, 03/30/2026 (MT Newswires) -- Xali Gold ( CGDXF ) said Monday that it has commenced engineering studies to update the feasibility study for its Pico Machay gold project in Peru, originally completed in 2009.

The company said it has engaged Adam Johnston of Transmin Metallurgical Consultants to help assemble the engineering team and oversee mineral processing, metallurgical testing and recovery optimization, which are key components for the updated study.

Xali said work will begin with an updated resource estimate, followed by a preliminary economic assessment showing the revised capital and operational cost estimates and economic analysis based on long-term gold and silver prices.

Xali added that initiating these studies at this stage allows the company to commence the process for a detailed environmental impact assessment, which requires 12-24 months.