The Adriatic Metals plc (ASX: ADT) share price has returned to yesterday's closing price of $2.26 after a day of ups and downs in trading. This, despite a positive announcement made by the company this morning.
During mid-morning trade, shares in the precious and base metals miner reached an intraday high of $2.35 but retreated in the afternoon to close at $2.26.
What was announced?
In today's release, Adriatic Metals reported it had achieved another key milestone in progressing its Vares Project in Bosnian-Herzegovina (BiH).
The company said the local Environment and Tourism Ministry had issued a positive record of decision (RoD) to its subsidiary Eastern Mining for the Rupice Environmental Permit.
Eastern Mining is a Bosnian-Herzegovinian exploration and development company focused on lead, zinc, silver, gold, copper and barite. The miner owns two projects across the Bosnian-Herzegovinian and Serbian regions.
The first is a 100% owned Vares high-grade silver project in Bosnian-Herzegovina. And the second is an exploration licence at the Raska base & precious metals project in Serbia.
Adriatic Metals said the newly approved permit was a major step in obtaining an exploration licence at its Vares project. The positive RoD follows the company's environmental impact assessment submission to a five-member expert committee in August last year.
With the environmental permit to be issued within the next 30 days, Adriatic will move onto its next steps. The company said it would apply for an urban planning permit to the Federal Ministry for Spatial Planning.
Management commentary
Adriatic CEO and managing director Paul Cronin welcomed the progress, saying:
The receipt of the RoD is another major step forward in the permitting of the Vares Project, and when coupled with the recent issuance of the Veovaca Exploitation Permit, clearly demonstrates the team's ability to permit a mine in BiH.
We continue to enjoy the strong support of both our local community in Vares and the government of BiH. We look forward to building this highly profitable mine in Q3-2021, whilst continuing to grow our resources around Vares, and advance our exciting project at Raska.
How has the Adriatic share price performed?
From March to August last year, the Adriatic share price has climbed more than 200%. However, since the last reporting season in August, the company's shares have been on a rollercoaster ride.
Based on the current share price, Adriatic has a market capitalisation of $462 million.
