Ovacik finally on the move

摘要

After a lengthy and arduous permitting process, final approval has been given for construction to start on Turkey's first gold mine, 110 km north of Izmir. Wholly owned by Eurogold Madencilik, a joint venture between Inmet of Canada (33.3 percent) and Mine Or SA (66.7 percent), the gold arm of the La Source partnership between Normandy Mining and BRGM, the Ovacik gold mine is expected to come on stream in the second half of next year at an estimated capital cost to completion of 35 million US dollars. Tender documentation is now in progress, with construction expected to start in the third quarter of calendar 1996. Gold production from the combined open-pit/underground mine is projected at an average rate of 100,000 oz/y over the first four years of operation, at an average cash cost of less than 150 dollars/oz. However, with access to higher grade ore in the early stages of the mine life, production could reach 110,000 oz/y at lower operating costs. The Ovacik mineralisation is contained within a series of epithermal quartz veins of which two, the M and S veins, are included in the reserve and resource calculations. Eurogold, which has so far spent more than 15 million dollars on the project, has outlined a mineable reserve of 1.28 Mt at an average grade of 11.7 g/t gold within an identified resource of 2.98 Mt at 9.0 g/t. The deposit is open along strike and at depth.