Dynacor Gold Mines Inc. announced that the environmental impact assessment (EIA) for construction of a new gold ore-processing facility has been approved by the Peruvian authorities. The EIA is a major milestone and the final step in the process which leads to the construction permit. The company expects to receive the construction permit within the next few weeks.

Dynacor's new ore-processing facility will have an initial capacity of 300 tonnes per day (TPD). Notably, it is designed to be readily upgraded to 600 TPD. The construction of the new ore-processing plant is to be financed directly from the Company's auto-generated operational cash flow and debt.

The final technical and budgetary plans are being drawn up at this time. Orders for the new ore-processing equipment have been placed. Dynacor estimates the new plant will take six (6) months to build.