G Mining Ventures Secures Major Tax Incentive for Brazilian Gold Mine
TL;DR
G Mining Ventures gains significant tax advantage with Tocantinzinho Gold Mine tax rate reduced from 34% to 15.25%, boosting margins and funding growth projects.
Brazil's SUDAM approved a 10-year tax incentive program reducing corporate income tax for the Tocantinzinho Gold Mine from 34% to approximately 15.25% starting fiscal 2025.
This tax incentive supports regional development in Brazil's Pará State while enabling G Mining Ventures to fund sustainable growth and exploration initiatives.
G Mining Ventures secured a major tax break in Brazil that will significantly boost cash flow for its gold mining operations and future projects.
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G Mining Ventures Corp. has received approval from Brazil's Superintendência do Desenvolvimento da Amazônia (SUDAM) to include its Tocantinzinho Gold Mine in Pará State in the regional development tax incentive program. This approval substantially reduces the nominal corporate income tax rate for the Tocantinzinho project from 34% to approximately 15.25% for a period of 10 years starting in fiscal 2025, with potential for renewal thereafter.
CEO Louis-Pierre Gignac stated that the tax incentive significantly strengthens the Tocantinzinho project's economic fundamentals, expands operating margins, and enhances free cash flow generation. The improved financial position will support the company's broader growth initiatives, including development of the Oko West Gold Project in Guyana and exploration activities at the Gurupi property. This strategic advantage comes at a critical time as the company positions itself to transition into a mid-tier precious metals producer.
The tax incentive approval represents a major regulatory milestone for G Mining Ventures, providing substantial financial benefits that could accelerate project development timelines and improve overall project returns. The reduced tax burden effectively increases the net present value of the Tocantinzinho Gold Mine while lowering the investment risk profile. For more detailed information about the company's developments, investors can access the full press release at https://ibn.fm/gESpw and follow ongoing updates in the company's newsroom at https://ibn.fm/GMINF.
This development highlights Brazil's ongoing efforts to attract mining investment in the Amazon region through targeted economic incentives. The SUDAM program aims to stimulate regional development while ensuring responsible resource extraction. For G Mining Ventures, the tax benefit strengthens the company's competitive position in the global gold mining sector and provides additional financial flexibility to pursue its dual-country strategy across Brazil and Guyana, both considered mining-friendly jurisdictions with significant mineral potential.
Curated from InvestorBrandNetwork (IBN)
