Overview
Ariana Resources has commenced construction of its Kiziltepe gold mine, part of the 70%-owned Red Rabbit project, in western Turkey.
When fully operational in H2 2016, the US$31 million open pit mine is expected to produce 20 koz/y of gold for 15 years at an average cash cost of US$600/oz. The pit contains 140 koz of gold in reserves at a grade of 3.1 g/t (plus silver).
Turkish partner, Proccea Construction Co, is taking its interest in the project to 50% through spending a total of US$8 million (US$3.5 million on the 2013 feasibility study and environmental impact statement, and US$4.5 million on construction).
Construction starts at Ariana’s Kiziltepe gold mine: AAU