Turkey approves environmental assessment for Centerra’s Oksut project
Canada’s Centerra Gold (TSX:CG) scored a small but key victory Tuesday after Turkey green-lighted the company’s environmental impact assessment (EIA) for its Oksut project, in the south-central Kayseri province.
The Toronto-based miner said it would now focus on obtaining all the necessary land use and other operational permits to allow us to start construction and development of the project, less than 300 km south of Ankara, the capital city.
Construction should start in early 2016, followed by production by mid-2017.
Over its eight-year life, Oksut should produce 895,000 ounces of gold at after-tax all-in costs of US$777 per ounce sold.
“The company believes there is exploration upside on the property as evidenced by recent drilling which extended the Guneytepe deposit,” it said in a statement, adding that it has identified “additional oxide material in the Keltepe NW prospect a kilometre away from the existing reserve area.”
Additional drilling is planned once the necessary drill permits are approved, the gold miner said.
The Oksut project helps geographically diversify Centerra Gold’s assets, which already operates the Kumtor mine in the Kyrgyz Republic and Borooo, in Mongolia, where it also has another gold project in early stages of development — Gatsuurt.
Additionally, Centerra holds a 50% interest in Premier Gold Mines’ (TSX:PG; US-OTC: PIRGF) Greenstone gold property in Ontario, Canada.