Name of the Project
Unkurtash gold project.

Location
Republic of Kyrgyzstan.

Client
Highland Gold Mining.

Project Description
The Unkurtash licence area covers three well-explored deposits – Unkurtash, Karatube and Sarytube – with previously published Joint Ore Reserves Committee-compliant mineral resources of 3.5-million ounces grading at 1.82 g/t of gold.

The scoping study on the project envisages a mine producing 133 000 oz/y over an 18-year mine life from two openpits of similar size.

The processing plant will use gravity concentration and gravity tailings carbon-in-leach, with a throughput of four-million tonnes a year and recoveries of more than 80%.

Jobs to Be Created
Not stated.

Net Present Value/Internal Rate of Return
The project has an estimated net present value, at a 10% discount rate, of $200-million and an internal rate of return of 19%, assuming a long-term gold price of $1 200/oz.

Value
Estimated capital expenditure is $322-million.

Duration
Not stated.

Latest Developments
An additional drilling programme planned for 2017 will position the project well for advancement to the prefeasibility and definitive feasibility study stages.

Highland Gold is considering various strategic alternatives for proceeding with the project, including partnering with another strategic investor to co-develop Unkurtash.

Key Contracts and Suppliers
Not stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Highland Gold Mining, tel +44 1534 814202, fax +44 1534 814 815 or email info@highlandgold.com.