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Turkiye

Kirazli Project

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Overview

Mine TypeOpen Pit
StatusTemporary Suspension
Commodities
  • Gold
  • Silver
Mining Method
  • Truck & Shovel / Loader
Mine Life... Lock
SnapshotKirazli is one of the lowest cost undeveloped gold projects in the world. Alamos expects to first develop Kirazli and then utilize its cash flows to fund the development of Agi Dagi.

On October 14, 2019, Alamos halted construction on its Kirazli Project due to the expiration of its Turkish mining concessions. Efforts to renew the licenses, including negotiations with the Turkish government and invoking the Netherlands-Türkiye Bilateral Investment Treaty (BIT), have been unsuccessful. On April 20, 2021, the Company filed a BIT claim against Türkiye for expropriation and unfair treatment, registered on June 7, 2021. A tribunal hearing is scheduled for October 2024.

The Company may lose gold mining projects in Türkiye and its ability to operate in Türkiye or to put any of the Kirazli, Agi Dagi, or Çamyurt sites into production.

Owners

SourceSource
CompanyInterestOwnership
Alamos Gold Inc. 100 % Indirect
Mineral rights for the concessions comprising Kirazli are controlled by Dogu Biga, a Turkish subsidiary of the Alamos Gold Inc.

Contractors

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Deposit type

  • Epithermal
  • Breccia pipe / Stockwork

Summary:

The principal model for gold mineralization at the Kirazli Gold Property is a high-sulphidation, epithermal gold deposit. Examples of this kind of deposit in the world are Yanacocha, Pierina and Alto Chicama in Peru. Most high-sulphidation deposits are large, low-grade bulk-tonnage systems (Yanacocha), though vein-hosted high-sulphidation deposits also occur (El Indio).

At Kirazli, gold mineralization is hosted within heterolithic phreatomagmatic/phreatic breccia bodies cutting through Miocene-age andesitic tuffs. Mineralization can generally be subdivided into two main types:

- A regional low-grade gold zone that underlies much of Kirazli, broadly enveloping the high-grade gold zones. This low-grade mineralization occurs both above and below the redox horizon. The widespread, low-grade mineralization is interpreted to be early and may be associated with the broad epithermal alteration that resulted in the chalcedonic silica (the second silica event);

- Four elongate bodies of high-grade gold mineralization occur in the advanced argillic zone overlapping slightly the bottom of the 1 km-long silica cap and the silica roots. High-grade gold mineralization also shows a strong spatial relationship with the margins of heterolithic breccia bodies. These bodies transect the redox boundaries. The subhorizontal section below the silica cap is in oxide or sometimes in transition zone while the bottom of the vertical section associated with the silica roots is in sulphide.

- The first high-grade body (A) is followed over more than 400 m in a northsouth direction from section 30650N to section 30250N. It coincides with the subvertical silica root and the phreatic breccia pipe and extends in the advanced argillic alteration mostly east of the root. Towards the top, it flares and extends subhorizontally eastward for 100 m below the silica cap end the subhorizontal eastern extension of the phreatic breccia but affects its lower portion too. The highest grade section coincides with the flat portion below the silica cap. Grades there may be spectacular as in drill hole KD-09 with 4.6 g/t Au over 38.5 m.

- The second high-grade body (B) is followed over 150 m in a north-south direction from section 30100N to section 29950N. It coincides with the advanced argillic alteration immediately west of the silica root but does not affect it. Towards the top, it extends westward for 50 m below the silica cap and affects its lower portion too.

- The third high-grade body (C) is followed over 250 m in a north-south direction from section 30100N to section 29850N. It coincides with the advanced argillic alteration immediately east of the silica root but does not affect it. Towards the top, it extends eastward for 50 m below the silica cap and affects its lower portion too. The highest grade portion coincides with the flat portion below the silica cap. Grades there may be spectacular too as in drill hole 10-KD-143 with 5.4 g/t Au over 39.5 m.

- The fourth high-grade body (D) is followed over 100 m in a north-south direction from section 29900N to section 29800N. It only affects advanced argillic altered andesites and phreatic breccias following a vertical direction until it bends to the west below the silica cap.

Reserves

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Mining Methods

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Comminution

Crushers and Mills

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Processing

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Production

CommodityUnitsAvg. AnnualLOM
Gold koz 104540
Silver koz 6173,141
All production numbers are expressed as metal in doré.

Operational metrics

Metrics
Daily ore mining rate 15,000 t *
Daily processing rate 14,400 t *
Daily processing capacity 15,000 t *
Annual ore mining rate 5,252 kt *
Stripping / waste ratio 1.45 *
Waste tonnes, LOM 37,886 kt *
Ore tonnes mined, LOM 26,104 kt *
Total tonnes mined, LOM 63,990 kt *
* According to 2017 study.

Production Costs

CommodityUnitsAverage
Total cash costs Gold USD 339 / oz * **  
All-in sustaining costs (AISC) Gold USD 373 / oz * **  
Assumed price Silver USD 16 / oz *  
Assumed price Gold USD 1,250 / oz *  
* According to 2017 study / presentation.
** Net of By-Product.

Operating Costs

Currency2017
OP mining costs ($/t mined) USD  ....  Subscribe
OP mining costs ($/t milled) USD  ....  Subscribe
Processing costs ($/t milled) USD  ....  Subscribe
Total operating costs ($/t milled) USD  ....  Subscribe
* According to 2017 study.

Project Costs

MetricsUnitsLOM Total
Initial CapEx $M USD  ......  Subscribe
Sustaining CapEx $M USD  ......  Subscribe
Total CapEx $M USD  ......  Subscribe
OP OpEx $M USD  ......  Subscribe
Processing OpEx $M USD 90.5
Refining and transportation $M USD  ......  Subscribe
G&A costs $M USD 43.9
Total OpEx $M USD  ......  Subscribe
Income Taxes $M USD  ......  Subscribe
Royalty payments $M USD  ......  Subscribe
Net revenue (LOM) $M USD  ......  Subscribe
After-tax Cash Flow (LOM) $M USD  ......  Subscribe
After-tax NPV @ 5% $M USD  ......  Subscribe
After-tax NPV @ 10% $M USD  ......  Subscribe
After-tax NPV @ 8% $M USD  ......  Subscribe
After-tax IRR, %  ......  Subscribe
After-tax payback period, years  ......  Subscribe

Heavy Mobile Equipment

Fleet data has not been reported.

Personnel

Mine Management

Job TitleNameProfileRef. Date
....................... Subscription required ....................... Subscription required Subscription required Jul 19, 2024
....................... Subscription required ....................... Subscription required Subscription required Jul 19, 2024

Aerial view:

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