Alamos Gold halts construction activities at Kirazli gold project

15 October 2019 (Last Updated July 2nd, 2020 13:51)

Alamos Gold has suspended construction activities at its Kirazli gold project in Turkey while it seeks the renewal of mining concessions, which expired on 13 October.

Alamos Gold halts construction activities at Kirazli gold project
Alamos Gold has suspended construction activities at its Kirazli gold project in Turkey. Credit: ALAMOS GOLD INC.

Alamos Gold has suspended construction activities at its Kirazli gold project in Turkey while it seeks the renewal of mining concessions, which expired on 13 October.

The company said that no further construction can be completed until the renewal of the mining concessions.

Alamos has met all the requirements and conditions of the regulatory bodies and expected the renewal by the expiration date.

The company is working with the Turkish Department of Energy and Natural Resources on receiving the renewal grants of the mining concessions, which would allow the restart of construction activities at the project site.

The renewal is required to be approved by the same government department that granted the Operating Permit to start earthworks on the open-pit area for Kirazlı in March.

Alamos said in a statement: “After earning the support of the local communities and passing a rigorous environmental review process, the company was granted approval of all the major permits needed to build Kirazlı including the Environmental Impact Assessment, Forestry Permits, GSM and Operating Permits.”

The local communities surrounding the Kirazlı project remain supportive of the project.

Alamos mentioned that initial production from Kirazlı has been delayed from the previous estimation of late 2020.

The company added that it would provide an updated budget and guidance on the construction schedule for the project once the concessions are renewed.

In September 2017, Alamos Gold signed a $770m agreement to acquire all issued and outstanding shares of Richmont Mines.

Alamos has diversified production from the Young-Davidson and Island Gold mines in northern Ontario, Canada and the Mulatos and El Chanate mines in Sonora State, Mexico.