Quilla Resources, led by CEO Víctor Gobitz, is advancing a structured rehabilitation plan to restart copper production at the Chapi mine in Moquegua, Peru. Backed by a $25 million equity injection and a 1% royalty from Elemental Royalties, the private firm targets a Toronto Stock Exchange listing by Q1 2027.
The Bottom Line
- Production Targets: Chapi’s heap-leaching SX-EW facility aims for an initial run-rate of 10,000 metric tons of 99.999% pure copper cathodes annually.
- Capital Structure: Quilla Resources secured $25 million through a mixed transaction with Elemental Royalties (CVE: ELE), ceding a 1% royalty alongside a 9% equity stake to fund technical studies without incurring heavy corporate debt.
- Market Entry: Leadership is weighing a public listing on the Toronto Stock Exchange for the first quarter of 2027, positioning the entity as an emerging producer with concrete expansion blueprints.
Reactivating Chapi: From Care-and-Maintenance to SX-EW Production
Originally developed by Compañía Minera Milpo and later absorbed by Nexa Resources (NYSE: NEXA), the Chapi operation in the General Sánchez Cerro province sat dormant after halting activities in 2012 due to depressed metal prices and operational hurdles. In late 2024, Nexa divested its 100% stake in Minera Pampa de Cobre to Quilla Resources for $5 million base consideration, structured as $1 million cash at closing and $4 million contingent on commercial resumption, alongside future production milestone payments.
Following the acquisition, the executive team initiated rehabilitation of all installed plant capacity. A trial run commenced in December 2025, yielding initial copper cathodes by February 2026. Unlike conventional flotation plants where incoming tonnage converts instantly to concentrate, Chapi utilizes heap leaching—applying liquid reagents over stacked mineral—demanding a gradual, methodical ramp-up phase.
By August 2026, operational capacity scaling approached the 60% threshold, targeting roughly 500 tons of monthly production. Output meets international purity standards at 99.999% copper content, with the entirety of the volume committed to South Korea under an agreement via Hartree, a metal trading house and equity partner in Quilla.
Financing Strategy and the Path to the Toronto Stock Exchange
Rather than leveraging high-interest commercial debt during its pre-revenue startup phase, management opted to monetize future production streams. The transaction with Elemental Royalties provided $25 million in exchange for equity dilution and expanded royalty coverage across northern concessions like Candelaria and Pampa Negra.
With preliminary financial advisory meetings underway, Quilla’s board will evaluate formal public listing applications in the final quarter of 2026. If approved, the company intends to debut on the Toronto Stock Exchange by early 2027, bypassing traditional early-stage exploration risk by listing as an active, revenue-generating producer.
| Metric / Milestone | Current Status (2026) | Projected Target (2027–2028) |
|---|---|---|
| Operational Capacity | ~60% of 10,000 tpa baseline | 30,000 tpa via 4 open pits |
| Capital Expenditure | Initial rehabilitation complete | US$ 200 a US$ 300 millones expansion capex |
| Permitting Schedule | Geotechnical and hydrogeological studies | Environmental impact study filing by late 2027 |
| Corporate Structure | Private entity (Gobitz, Hartree, Elemental) | Targeting Toronto Stock Exchange listing in Q1 2027 |
Unlocking Regional Scale and Sulfide Potential
Beyond the current oxide heap-leaching framework, Quilla controls a 20,000-hectare land package within Peru’s prolific southern copper belt. A six-rig drilling campaign spanning 30,000 meters is underway to substantiate four designated open pits: Cuprita, Atahualpa, Pampa Negra, and Candelaria.
The broader corporate roadmap involves an estimated US$ 200 a US$ 300 millones capital expenditure program to triple output from 10,000 to 30,000 metric tons of copper cathodes annually. Furthermore, historical exploration notes underlying primary sulfides at depth. Similar to the evolutionary path of the Cerro Verde complex—which transitioned from oxide extraction to massive sulfide flotation—Chapi holds deep-seated mineralization that could eventually justify a secondary processing plant, pending future capital deployment and market conditions.
