Name of the Project
Çöpler sulphide expansion project.

Location
Turkey.

Client
Alacer Gold (80%).

Project Description
The Çöpler mine has been operating since 2010, processing oxide ore through a heap-leach operation. The oxide ore is progressively being exhausted and the mine is shifting to processing sulphide ore using pressure oxidation.

The project will entail the introduction of a whole-ore pressure oxidation (POX) circuit that will extend the mine life and boost current resources and reserves. The POX facility is expected to process sulphide ore at 5 000 t/d and will result in a 20-year mine life for the project. Gold recovery for the sulphide plant is expected to average 96% over the life of the mine.

Twin horizontal enclaves will allow for incremental improvements to increase the throughput rate by 2.2-million tonnes a year by 2021.

Over the remaining project life, the Çöpler mine is expected to produce about four-million ounces of gold.

This project is expected to expand the operation’s mine life to 2037.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at a 5% discount rate, of $728-million and will provide an after-tax internal rate of return of 19.2%, with a payback of less than three years from the start of sulphide gold production.

Value
The capital cost estimate of the project has been reduced from $744-million to $660-million.

Duration
The project is expected to achieve commercial production in early 2019.

Latest Developments
The sulphide expansion project at Çöpler mine was brought on line in the quarter ended September 2018, and is now being prepared for first autoclave start-up.

The second autoclave will come on line shortly after the first one.

The newly constructed plant started processing oxide ore in September and will achieve commercial production in early 2019.

At the end of September, sulphide stockpiles were 9.2-million tonnes at an average grade of 3.29 g/t gold, or about one-million contained gold ounces.

Key Contracts and Suppliers
Carpenteria Corsi (autoclaves).

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Alacer Gold, tel +1 303 292 1299, fax +1 303 297 0538 or email info@alacergold.com.