XAUgCREC MATERIAL CO S.A.S
ZHENES
CREC EXISTING BUSINESSMining · Caucaconcession 191402 plants + exportBuenaventura → QingdaoNot in this project poolUnaffected by its resultindependent accounting · no cross-fundingTHIS PROJECT · NEW LINEFunded by USD 1,000,000one line per full 1MSurplus → payout + redemptioncapped at this line onlyPayout and redemption limited tothis line’s own operating surplus

Two separated lines: CREC’s existing business stays outside; the new line is accounted for on its own.

CREC Business Framework & Rationale

CREC MATERIAL CO S.A.S is the Colombian operating entity (NIT 901049019-1, Cali). This page sets out its existing operations, the boundary with this project, and why this round is being raised.

Existing operations

Mining

Loma Alta, Cauca. Concession 19140 is held by a cooperative; CREC holds use rights by lease. Actual shipments in Aug 2026: 104 t (4 containers × ~26 t).

Processing

Two plants under notarized lease: Yarumo (renewed to 2037) and El Chileno (to 2030); the mine lease runs to 2034.

Export settlement

Concentrate ships from Buenaventura to Qingdao, priced on contained metal, with smelting, refining and trading charges deducted by the buyer.

Boundary with this project

Case A · new line on schedule

The line produces from month 6; its surplus is allocated by agreed ratio and the balance supports CREC expansion. The two business lines complement each other in funding and capacity.

Case B · new line underperforms

CREC’s existing business is not part of this project’s fund pool and is unaffected by its outcome. The new line is accounted for separately; payout and redemption obligations are limited to its own surplus.

Why raise this round

ReasonDetail
Capacity is fullExisting lines run at capacity; new orders cannot be absorbed. Expansion is the only path to incremental demand.
Internal cash flow cannot fund a one-off capexEquipment and installation for one line require 1,000,000 USD up front; monthly surplus cannot accumulate to that scale in the near term.
Process and ore source are provenThe new line reuses the existing process and the same ore source; output is derived from actual operating data, with no new reserves or exploration results involved.
Per-line accounting keeps it cleanEach 1,000,000 USD maps to one line, accounted and allocated separately, avoiding any mix with existing operations.
This round does not enter CREC’s existing business and is not used to repay existing debt; proceeds are earmarked for the new line, and equipment cost does not consume operating surplus.