en.Wedoany.com Reported - Steppe Gold Ltd. announced that its wholly-owned subsidiary, Steppe Gold LLC, has signed an amendment to the engineering, procurement, and construction agreement with Hexagon Build Engineering LLC for the Phase II project of the Mongolia ATO Mine, increasing the contract value from $148.8 million to approximately $238.2 million.

After reviewing the EPC agreement and project development plan, the company's management confirmed that the Phase II development requires additional tailings management facilities, power transmission and water supply infrastructure, concentrate transport roads, as well as warehouses, maintenance workshops, and camp facilities. These items were not fully addressed in terms of responsibility allocation or execution methods in the initial EPC agreement and have therefore been included in the scope of work.

Regarding financing, the company intends to seek debt financing for the revised project scope, but related arrangements have not yet been determined or finalized. There is currently no assurance that the company will obtain the required financing on acceptable terms, or at all, and it remains uncertain whether the project will proceed as currently anticipated.

Looking ahead, the revised feasibility study is expected to be completed in the second half of 2026 and will reflect the company's decision to increase the planned annual processing capacity of the project. Further development of the project depends on the completion of the revised feasibility study, securing the required financing, obtaining all necessary permits and approvals, and ongoing project execution planning. As the project progresses, additional engineering, infrastructure requirements, or scope modifications may be identified through engineering, permitting, and optimization activities, which will impact the project's capital costs, development timeline, and overall execution strategy.

The ATO Mine is a multi-stage precious metals project located in Dornod Province, Mongolia, owned and operated by Steppe Mongolia, a wholly-owned subsidiary of Steppe Gold Ltd. Steppe Gold is Mongolia's premier precious metals company.

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