On October 30, 2024, Cerrado Gold Inc. announced that Hochschild Mining PLC's subsidiary, Amarillo Mineração do Brasil Ltda., exercised its option to acquire a 100% interest in Cerrado’s Monte Do Carmo (MDC) Project in Tocantins, Brazil. The transaction, valued at approximately $83 million (US$60 million), includes a series of payments: an initial $15 million previously received, a $30 million installment before closing, and two post-closing milestone payments totaling $15 million. This agreement, which Cerrado shareholders overwhelmingly approved on June 27, 2024, also involved a 10% interest-bearing secured loan from Amarillo to Cerrado, which was offset against the consideration.

Closing, anticipated on November 5, 2024, is subject to conditions including TSX Venture Exchange approval. Upon completion, the transaction will bolster Cerrado’s financial position, enabling further investment in its MDN gold mine in Argentina and the Mont Sorcier Iron Ore Project.

The option agreement, signed on March 4, 2024, mandated Amarillo to incur at least $5 million in exploration expenditures, with additional security provisions on MDC assets until closing. Legal details and further terms were accessible on SEDAR+.