Anatolia Minerals commences Copler Gold Mine construction
Anatolia Minerals Development Limited announces construction is beginning on its Copler Gold Mine in Turkey.
Anatolia will begin mobilization of the main earthworks and civil works contractor immediately. Construction management is being provided by SNC Lavalin. The project schedule targets first gold pour in late 2009. Anatolia will then ramp up production throughout 2010 to achieve full production goals by 2011.
Edward C. Dowling, President and CEO of Anatolia stated, “This is a milestone achievement for Anatolia. I’m pleased we have delivered on the objectives that we outlined at our annual meeting. Since receiving our final permits last month, we completed a review of our construction execution plan and are ready to proceed. Copler represents an important partnership between Anatolia and the communities of the Province of Erzincan.”
Permitting and pre-construction activities have been ongoing. Anatolia received its forestry lease permit in August 2008, with final lease documentation completed September 18, 2008. This was the final permit required for construction. Project financing arrangements for a US$70 million credit facility were announced on August 25, 2008. Construction of a by-pass road, power line, company housing, construction management accommodations and water wells are either complete or on schedule. Key equipment has been manufactured, shipped to Turkey and is available for delivery to the project site. Other elements including final land acquisitions and relocation of the Copler village will continue concurrently with plant construction activities.
Anatolia has outlined a multi-phase approach to developing Copler. This initial phase targets near-surface oxide ores, which will be processed through a 15,500 tonne per day crush-heap leach operation. Management estimates Phase 1 will produce 1.3 million ounces gold over an eight year mine life. After the initial ramp up in 2010, remaining life-of-mine cash costs per ounce will average approximately $290 per ounce gold.
In addition to the start of plant construction, drilling is in process to add oxide ores by converting existing oxide resources to reserves and defining additional oxides in previously undrilled areas. Sulfide sample collection was completed earlier this summer and metallurgical testing and process design work is continuing.
Anatolia Minerals is a leader among exploration and development companies in Turkey, pursuing a disciplined strategy for growth through resource discovery and development. The Company’s 100%-owned Copler Gold Project is among Turkey’s largest undeveloped gold deposits. Anatolia is developing Copler with a holistic approach. The Company plans a phased mine development at Copler. Phase 1 begins with a crush-heap leach operation for the oxide ores. Simultaneously, the Company is accelerating exploration and technical work to generate additional gold resource and reserves for both oxide and sulfide ores. In Phase 2, the Company plans to install milling for higher-grade oxide ores to produce additional gold along with the initial heap leach. Phase 3 will culminate in the development of the sulfide mineral resources.
Anatolia currently has 83.1 million common shares issued and outstanding, 100.5 million fully diluted. Anatolia trades on the Toronto Stock Exchange as ANO.
