Apex, through its subsidiary Apex Asia, controls a 79% interest in Kumushtak, the joint stock company that owns the 611-sq. km property.
Newmont can earn a 70% interest in Jamgyr by spending US$5 million on exploration over the next seven years. If the property reaches production, the partners will form a new company, giving Newmont its 70% share, with Kumushtak retaining the remainder.
Situated 300 km southwest of Bishkek, in the western Tien Shan Mountains, the property exhibits structural and stratigraphic features similar to the Kumtor gold mine, 525 km to the east. Initial exploration has outlined a 4.5-ha zone of mineralization, known as Chaarat.
In addition to Jamgyr, Apex Asia, through Kumushtak, holds a 79% interest in 1,247 sq. km of exploration concessions surrounding the Kumushtak silver district.
Newmont already operates the Zarafshan joint venture in neighbouring Uzbekistan, where low-grade ore from the Murantau gold mine is stockpiled and heap-leached. The company is also exploring properties in Kazakstan and elsewhere in Kyrgyzstan.
The Denver-based producer is preparing to begin grassroots exploration, including mapping and sampling, with drilling expected to follow.
Meanwhile, Apex is lining up financing for construction of the US$400-million San Cristobal zinc-silver project in Bolivia.
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