Avino (ASM) Gains Full Control of La Preciosa with Strategic Royalty Buyout

Avino Silver & Gold Mines Ltd. (NYSE:ASM) is one of the must-buy penny stocks to invest in. On August 25, 2025, Avino Silver & Gold Mines Ltd. announced the acquisition of 100% ownership of its La Preciosa project in Mexico by purchasing and extinguishing all outstanding royalty and contingent payment obligations from Deterra Royalties Limited.

The $22 million transaction includes a $13.25 million upfront payment and a deferred $8.75 million due in one year, already accounted for in the existing agreement. This move restores full control of the asset, optimizes financial structure, and enhances project economics ahead of production.

President and CEO David Wolfin highlighted the strategic value of eliminating royalty burdens, calling it a rare opportunity to boost project returns and shareholder value. With La Preciosa now materially unencumbered, Avino expects lower operating costs and stronger NAV per share. The company’s robust balance sheet, supported by strong cash flows from its current operations, enabled this accretive investment. The transaction also marks the end of a multi-party royalty trail that began with Coeur Mining and passed through Trident Royalties before reaching Deterra.

Avino Silver & Gold Mines Ltd. (NYSE:ASM) is a mining and exploration company. It primarily operates the Avino Mine in Durango, Mexico, which produces silver, gold, and copper through underground mining and processing facilities. The company has a long operating history at the site. It continues to focus on expanding resources and production capacity to strengthen its position as a mid-tier precious metals producer.

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Disclosure: None. This article is originally published at Insider Monkey.