Eldorado Gold starts building second mine in Turkey
Mon Jun 2, 2008 11:00am EDT
reuters.com
TORONTO, June 2 (Reuters) - Eldorado Gold (ELD.TO: Quote, Profile, Research) has begun construction of its Efemcukuru gold mine in Turkey, after a court issued environmental permits and approvals for the mine, the company said on Monday.
The mine will be the company's second in Turkey and is expected to produce 112,000 ounces per year, part of Eldorado's plan to become a 500,000-ounce-a-year producer by 2010. The company produced 281,135 ounces in 2007.
Shares of Eldorado, which in April bid for Frontier Pacific Mining Corp (FRP.V: Quote, Profile, Research), were up 18 Canadian cents at C$8.23 on the Toronto Stock Exchange on Monday.
The Vancouver, British Columbia-based company resumed production at its Kisladag mine in Turkey in March after the expiry of an injunction that shut the mine last August.
The injunction had shut the mine pending a high court decision on an appeal of Kisladag's environmental permit. The court said it could not come to a decision because expert reports were inadequate, it said.
Eldorado's Frontier bid is an all-stock offer of 0.122 of an Eldorado share for each Frontier share. At Monday's prices, the deal is valued at C$167 million. Frontier has urged shareholders to reject the bid.
($1=$1.00 Canadian) (Reporting by Cameron French; Editing by Bernadette Baum) |
