Lion One Metals Ltd. Advances Tuvatu Mill Expansion and Secures Forbearance
Lion One Metals Ltd., a Canadian materials company listed on the TSX Venture Exchange, reported progress on its Tuvatu gold project in Fiji and a new financial arrangement with its senior lender.
Phase 1 of Mill Expansion Commences
On 21 July 2026, the company announced that phase 1 of the mill expansion at the Tuvatu site has begun. The expansion is intended to increase the plant’s throughput from 300 tonnes per day (TPD) to 400 TPD and includes an upgrade of the filter press. The upgrade is expected to improve the recovery of gold and other minerals from the ore. This development follows the company’s earlier announcement on the same day that it had initiated the first stage of the expansion. The project is a key component of Lion One’s strategy to develop its mineral claims in the Fijian Islands.
Forbearance Agreement with Senior Lender
Two days later, on 23 July 2026, Lion One disclosed a forbearance agreement with its senior lender. The agreement extends the repayment date for the company’s debt, providing additional liquidity and operational flexibility while the expansion proceeds. The terms of the agreement are designed to mitigate short‑term cash‑flow pressures without compromising the company’s long‑term growth objectives.
Market Context
Lion One’s share price closed at CAD 0.16 on 21 July 2026. Over the past year the stock has ranged from a low of CAD 0.12 to a high of CAD 0.44. The company’s market capitalization stands at CAD 54.4 million. Its price‑to‑earnings ratio is 4.83, reflecting modest valuation relative to earnings.
Outlook
The initiation of the Tuvatu mill expansion and the secured forbearance arrangement position Lion One to enhance production capacity while maintaining financial stability. The company’s focus remains on acquiring and developing mineral properties, with the Tuvatu project representing a significant milestone in its growth plan.
