Eldorado Gold Corporation - Kisladag Update.Business Editors VANCOUVER, B.C.--(BUSINESS WIRE)--Jan. 9, 2001 Eldorado Gold Eldorado Gold Corporation TSX: ELD is a Vancouver, British Columbia based company involved in the mining, exploration and development of gold properties in Brazil and Turkey. See also
TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :ELD.) in conjunction with its consultants have completed scoping study evaluations based on an expanded Kisladag resource. The Kisladag project, located in Turkey, is 100% owned by Eldorado, with a resource delineated de·lin·e·ate tr.v. de·lin·e·at·ed, de·lin·e·at·ing, de·lin·e·ates 1. To draw or trace the outline of; sketch out. 2. To represent pictorially; depict. 3. by 16,000 meters of drilling to date. The Company is presently working to complete a prefeasibility study in the first quarter 2001. The resource, which was updated in a press release dated September 29, 2000, is presented below in Table 1.
Table 1 Resource: Measured Indicated and Inferred
@ 0.4 g/t cut-off
Classification Tonnes Grade (g/t Au) Ounces Au
Measured 9,570,000 1.30 401,000
Indicated 116,400,000 1.19 4,446,000
Total M&I 125,970,000 1.20 4,847,000
Inferred 55,470,000 1.03 1,826,000
Using this resource, analyses were completed based on two assumed
production rates: 3.3 million tons ("MT") per annum (9,500 tons per
day) and 10.0 million tons per annum (28,500 tons per day). The object
of this work was to establish broad parameters for either assumed
production rate. A summary of results from the studies is as follows:
Table 2
Mine Through put (annual) 3.3 MT 10.0 MT
Mine Life 10 years 10 years
Mine Grade (g/t) 1.5 1.4
Average Annual Production (oz) 103,000 266,000
Capital Investment (millions) $ 37.3 $ 104.5
Sustaining Capital (millions) $ 10.5 $ 38.8
Cash Operating Costs $ 151/oz $ 138/oz
Previous disclosure on Kisladag has focused on financial returns
before taxes and royalty. The work on this project has now progressed
to the point where after tax and royalty figures are meaningful. Table
3 shows the projected returns based on preliminary analyses, after tax
and royalty, at a US$275 gold price.
Table 3
Projected Financial Performance After Tax & Royalty @ US$275 Au
Mine throughput (annual) 3.3 MT 10.0 MT
Internal Rate of Return 17% 21%
NPV@ 0% (millions) $ 46.5 $ 142.6
NPV@ 5% (millions) $ 24.9 $ 82.8
NPV@ 10% (millions) $ 11.2 $ 44.5
NPV = Net Present Value
In both cases examined, a conventional open pit three stage crush crush A combination commodity trade in which soybean futures are purchased and soybean meal or oil futures are sold. Compare reverse crush. , heap leach leach v. leached, leach·ing, leach·es v.tr. 1. To remove soluble or other constituents from by the action of a percolating liquid. 2. operation was considered utilizing an owner-operated mining fleet. The favourable geometry of the Kisladag resource provides for low strip ratios of 0.34 and 0.90 in the 3.3 and 10.0 MT PA cases respectively. Following completion of the Kisladag prefeasibility study, Eldorado will be advancing the project through 2001 with the objective to complete a bankable bank·a·ble adj. 1. Acceptable to or at a bank: bankable funds. 2. Guaranteed to bring profit: a bankable movie star. feasibility study The analysis of a problem to determine if it can be solved effectively. The operational (will it work?), economical (costs and benefits) and technical (can it be built?) aspects are part of the study. Results of the study determine whether the solution should be implemented. early in 2002. In addition, the Company is working toward completion of an Environmental Impact Assessment as the next step in the permitting process. Apart from executing the planned definition and exploratory drilling program at Kisladag, the Company will, for the first time, drill test its Sayacik prospect located approximately 5 km south west of the Kisladag prospect. The Sayacik prospect is situated in the centre of the Beydag volcano volcano, vents or fissures in the earth's crust through which gases, molten rock, or lava, and solid fragments are discharged. Their study is called volcanology. and exhibits geological similarities to the nearby Kisladag prospect. Based on the geological setting, strong trace elements Trace elements A group of elements that are present in the human body in very small amounts but are nonetheless important to good health. They include chromium, copper, cobalt, iodine, iron, selenium, and zinc. Trace elements are also called micronutrients. , anomalies in soils and the chargeability anomalies, the Sayacik prospect is considered to be a target for porphyry Porphyry, Greek scholar Porphyry (pôr`fĭrē), c.232–c.304, Greek scholar and Neoplatonic philosopher. He studied rhetoric under Cassius Longinus and philosophy under Plotinus. gold mineralization Mineralization The process by which the body uses minerals to build bone structure. Mentioned in: Rickets mineralization, n the bioprecipitation of an inorganic substance. similar to Kisladag. The 2000 field work program for Kisladag and Sayacik is planned to commence in March. ON BEHALF OF ELDORADO GOLD CORPORATION Paul N. Wright (signed) Paul N. Wright President and Chief Executive Officer This and other news releases complete with graphic attachments, if any, are available at the Company's website (www.eldoradogold.com) or may be acquired by fax or mail upon request Disclosure documents may also be viewed at www.sedar.com Eldorado Gold Corporation's shares (Symbol: ELD) trade on the Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. ("TSE") The TSE has neither approved or disapproved the form or content of this release. |
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