Recently Armenian Prime Minister Hovik Abrahamyan met with Howard Stevenson, President and CEO of Lydian International, a company registered in the Channel Islands planning to invest US$400 million in the Amulsar Gold Project in southern Armenia.
A formal decision has been made to proceed with construction at its 100%-owned Amulsar Gold Project inArmenia. This action by the Company's board of directors follows recent receipt of an amended Mining Right from the Republic of Armenia and the previously announced closings of a C$38.3 million public offering and US$80 million in private placements.
The development plan for Amulsar demonstrates a compelling opportunity for value generation. Upon completion, Amulsar is expected to be the largest gold mine in Armenia, producing an average of 243,000 ounces of gold per year over the initial five years of operations. With this scale of production and a 10-year life-of-mine total cash cost estimated at US$509/gold ounce, Amulsar will be a highly profitable operation.
First gold pour is expected within approximately 20 months from the start of construction. Lydian will also be evaluating future expansion potential from currently defined inferred mineral resources and, ultimately, from open extensions at depth.