Land deal pushes Kisladag closer to production

Vancouver The recent purchase of private and public lands brings Eldorado Gold (ELD-T) another step closer to starting mine construction at the Kisladag gold project in western Turkey.

The company acquired lands held by the state (either as treasury land or forestry lands) and privately owned agricultural holdings totaling about 896 hectares. As part of that process, residents of the nearby community of Ovacik were asked if they preferred to remain in the settlement or relocate to a new area. The citizens unanimously chose to relocate, and accepted an offer from the company to buy their properties, some 417 parcels totaling 219 hectares.

Eldorado President Paul Wright said the "timely, efficient completion of the complex land purchase positively reflects the support of the local community for the Kisladaq project." He also praised the company’s staff in Turkey for their efforts to make the land acquisition a success.

With the complex land deal behind it, Eldorado plans to turn its attention to the final stages of the permitting process, including the zoning plan and application for a construction permit.

Eldorado expects to make a construction decision in the second quarter of this year for an open-pit, heap-leach operation. Kisladaq hosts a measured and indicated resource of 214.8 million tonnes grading 1.04 grams gold per tonne, or about 7.1 million contained oz., plus additional inferred resources of 45.5 million tonnes at 0.75 gram gold. Total reserves stand at 135 million tonnes grading 1.16 grams, or about 5 million contained oz. of gold.