Ariana updates on construction at Kiziltepe mine

Ariana Resources has issued an update on construction of the Kiziltepe mine within the Red Rabbit gold-silver project in Western Turkey.

Kiziltepe is being advanced towards production through a 50:50 joint venture with Proccea Construction Co. Construction of the project is expected to be completed by mid-December 2016 with production commencing during the weeks thereafter.

Highlights:

– Process CIL/CIC and ADR piping and electrical work fully completed, with the process plant now under preparation for operational start-up.

– Mining and stockpiling of Run of Mine ore continuing, with drilling and blasting under way on the Stage 1 open-pit at Arzu South.

– Dry commissioning in progress with crushers and milling underway; wet commissioning of process plant commencing with water tests.

– Back-up tailings pumps installed and ready for full-cycle wet commissioning of Tailings Storage Facility. – Dam wall complete and installation of geomembrane for Stage 1 TSF now largely complete; TSF to be ready for inspection by the authorities ahead of start-up during late December.

– Production expected to commence once the TSF installation has been approved and a routine Operations Permit has been issued.

– The Company is considering several accelerated work programmes on its projects to enhance its future production profile once Kiziltepe becomes operational.

Managing director Dr. Kerim Sener said: “We are very pleased to report that construction of the Kiziltepe Mine is largely completed and is expected to become operational within weeks. Dry and wet commissioning is underway and it is expected that the TSF will be completed during mid-December ready for final inspections ahead of production start-up. We wish to commend our project partners, Proccea Construction, for completing the project substantially on time and on budget

“As Kiziltepe approaches its first gold pour, we remain focused on further enhancing the project through the drilling of potential resource extensions and in developing several satellite prospects aiming to add to our production profile and to provide increased optionality on our resource base.

“This will require further drilling programmes and project development work, including additional feasibility studies, particularly at Kepez, Kizilcukur and ultimately at Tavsan. We are focused on building on our production profile to reach a target of 50,000 oz per annum, particularly once Tavsan is developed. We are also aiming to increase overall mine life across the Kiziltepe Sector and to leverage the use of the Kiziltepe infrastructure as we consider the development of Tavsan.”

At 8:42am: (LON:AAU) Ariana Resources PLC share price was 0p at 1.65p

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