https://www.miningweekly.com

Eldorado approves $520m mill project in Turkey

The Kisladag mine, in Turkey

The Kisladag mine, in Turkey

26th October 2018

By: Creamer Media Reporter

     

Font size: - +

The board of Vancouver-based miner Eldorado Gold has approved a $520-million investment in a mill project at the Kisladag mine, in Turkey, paving the way for 270 000 oz/y of production over a nine-year mine life.

The 13-million-tonne-a-year mill project, which will see Kisladag transition away from heap leaching, will begin commissioning in late 2020, with first production expected in the first half of 2021, Eldorado reported this week.

The feasibility study for the mill project returned a net present value of $392-million and an internal rate of return of 20.4%, with a 3.9-year payback period.

With the board approval to advance the mill project, a review of the useful lives of the Kisladag heap leach assets resulted in an impairment charge of $117.6-million being recognised during the quarter. As a result, the net loss attributable to shareholders of the company for this quarter was $128-million, or a loss of $0.16 a share, compared with a net loss of $4.2-million, or $0.01 a share, in the third quarter of 2017.

Eldorado reported an adjusted net loss for the quarter of $21.9-million, or $0.03 a share, compared with adjusted net earnings of $1.3-million, or $0.00 a share, in the comparative quarter of 2017.

Meanwhile, the miner said that its operations continued to perform well, resulting in a further production guidance increase. This time to 345 000 oz to 350 000 oz at cash operating costs of $600/oz to $650/oz, from a previous guidance of 330 000 oz to 340 000 oz and an initial guidance of 290 000 oz to 330 000 oz. The higher guidance is primarily attributed to expected higher production at Kisladag, partially offset by a guidance reduction at Olympias.  

The 2018 guidance for Olympias has been revised to 45 000 oz to 50 000 oz at a cash operating cost of $600/oz to $700/oz, down from original guidance of 55 000 oz to 65 000 oz at a cash operating cost of $550/oz to $650/oz sold.

Edited by Mariaan Webb
Creamer Media Senior Deputy Editor Online

Comments

Showroom

Booyco Electronics
Booyco Electronics

Booyco Electronics, South African pioneer of Proximity Detection Systems, offers safety solutions for underground and surface mining, quarrying,...

VISIT SHOWROOM 
SBS Tanks
SBS Tanks

SBS® Tanks is a leading provider of innovative water security solutions with offices in Southern Africa, East and West Africa, the USA and an...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Resources Watch
Resources Watch
27th March 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.059 0.091s - 88pq - 2rq
Subscribe Now