Exhibit 99.1
NEWS RELEASE
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TSX:
ELD NYSE: EGO
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September
9, 2019
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Eldorado Gold Provides Project Update
VANCOUVER,
BC – Eldorado Gold Corporation (“Eldorado” or the
“Company”) announces updates on Kisladag metallurgical
testwork, its expansion plans at Lamaque and its Greek
projects.
Kisladag Update
Kisladag
metallurgical testwork is advancing well with the majority of test
results now expected to be completed prior to year-end 2019. A
suite of extended Intermittent Bottle Roll Tests (IBRT) have been
completed to help predict heap leach recovery on the existing
reserve. IBRT tests are indicating that with the longer heap leach
cycle of 250 days, gold recoveries are trending over 50%. More than
100 two-metre columns are also underway, which is the standard test
for heap leaching, to confirm the findings of the
IBRTs.
The
preliminary results, utilizing the IBRT metallurgical testwork, are
indicating a possible mine life extension beyond the current three
year guidance. In the event that testwork supports a mine life
extension, waste stripping would be necessary. The Company expects
to be in a position to determine the most economic path for the
development of Kisladag by the end of Q1 2020.
Lamaque Update
The
Company is evaluating an expansion at its Lamaque project, which
would be designed to increase throughput from an average of
approximately 1,800 tonnes per day (“tpd”) to 2,500 tpd
and increase average annual production from approximately 130,000
ounces of gold to approximately 170,000 ounces of
gold.
Eldorado
is working on a Preliminary Economic Assessment (“PEA”)
for this expansion, which will include inferred resources up to and
including the C7 shear zone at the Triangle deposit (as shown in
Figure 1), and is scheduled to be completed in Q4 2019. Subject to
the results of the PEA, the Company will begin a Prefeasibility
Study (“PFS”) on the Lamaque expansion, which is
expected in 2H 2020.
Highlights
of the expansion PEA are expected to include:
●
10 year mine life
with target production of 1.5 million ounces of gold
●
Expected average
annual gold production of 170,000 ounces per year once ramp up is
complete; or 150,000 ounces per year over the full 10
years
●
Three distinct
projects that should allow for expansion up to 2,500
tpd:
o
A two kilometre
decline and conveyor system from the Sigma mill to the 400 metre
level of the Triangle Deposit (Figure 2)
o
Upgrades to the
Sigma Mill to allow for increased throughput
o
Construction of a
paste plant to provide a long-term tailings solution
The
decline project would include an underground crusher and a conveyor
system for transportation of ore, which would eliminate ore
re-handle, eliminate underground haulage from the 400 meter level
to surface and 26 kilometers of round trip surface haulage.
Underground drilling platforms would be established along the
decline which would provide access for exploration along the
geologically prospective ground between the Triangle underground
mine and the historic Sigma and Lamaque underground mines. The
decline would also provide social benefits including eliminating
emissions from surface haulage, removing haulage trucks from public
roads and reducing noise for the community.
The
Sigma Mill upgrades would include additional leach tanks and a
coarse ore stockpile and could include the addition of a SAG mill
that would allow processing of more than 2,500 tpd. This additional
capacity would set the asset up for future expansion from lower
portions of Triangle or other areas of the property. The Company
intends to apply for a 2,650 tpd permit, a 50% increase over the
current permit, which is the maximum allowed under the Provincial
permitting process.
Addition
of a paste plant would provide an environmental improvement and
long-term tailings solution with paste tailings deposited in the
historic Sigma open pit. The plant would also allow for paste
backfill to be pumped underground through the proposed conveyor
decline.
Construction
of the decline could start in 2020, as it provides reduced haulage
costs under any production scenario, as well as other strategic
benefits that include the efficient recovery of potential resources
at depth. Timing of other major construction will depend on results
of the PEA and PFS as well as the timing of other projects the
Company may have underway. This will allow time for additional
Inferred Mineral Resource conversion drilling.
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Greek Project Update
The
Company recently received certain installation permits for its
Skouries and Olympias assets in Greece. Eldorado is working with
the Greek government to achieve the necessary conditions required
to re-start construction at Skouries and to allow for the
completion of the development, construction and financing of our
Kassandra assets. In the interim, potential investments the Company
is currently evaluating include:
●
Engineering and
permitting expenses and minor enabling construction to support the
restart of work at the Skouries Project, contingent on receipt of
the building permit for the Skouries flotation plant
building
●
Engineering and EIA
permitting expenses at the Perama Hill Project
●
Engineering and
permitting expenses to expand the Olympias Mine’s capacity
from 1,200 tpd to 1,900tpd
Lamaque Figures
Figure 1: Outline of Triangle Ore body
Figure 2: Proposed Ramp from Triangle to Sigma
Mill
About Eldorado Gold
Eldorado
is a gold and base metals producer with mining, development and
exploration operations in Turkey, Canada, Greece, Romania, Serbia,
and Brazil. The Company has a highly skilled and dedicated
workforce, safe and responsible operations, a portfolio of
high-quality assets, and long-term partnerships with local
communities. Eldorado's common shares trade on the Toronto Stock
Exchange (TSX: ELD) and the New York Stock Exchange (NYSE:
EGO).
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Contacts
Investor Relations
Peter
Lekich, Manager Investor Relations
604.687.4018
or 1.888.353.8166 peter.lekich@eldoradogold.com
Media
Louise
Burgess, Director Communications & Government
Relations
604.687.4018
or 1.888.353.8166 louise.burgess@eldoradogold.com
Cautionary Note about Forward-looking Statements and
Information
Certain of the statements made and information provided in this
press release are forward-looking statements or information within
the meaning of the United States Private Securities Litigation
Reform Act of 1995 and applicable Canadian securities laws. Often,
these forward-looking statements and forward-looking information
can be identified by the use of words such as "plans", "expects",
"is expected", "budget", “continue”,
“projected”, "scheduled", "estimates", "forecasts",
"intends", "anticipates", or "believes" or the negatives thereof or
variations of such words and phrases or statements that certain
actions, events or results "may", "could", "would", "might" or
"will" be taken, occur or be achieved.
Forward-looking statements or information contained in this release
include, but are not limited to, statements or information with
respect to: our expectations regarding further test work results,
expected metallurgical recoveries and possible mine life extension
at Kisladag, expectations regarding results of the Lamaque PEA,
including a potential increase in annual production, extension of
mine life and additional inferred resources, expectations regarding
negotiations with the Greek Sate to achieve the necessary
conditions required to re-start construction at Skouries and to
allow for the completion of the development, construction and
financing of our Kassandra assets , and our strategy, plans and
goals, including our proposed exploration, development,
construction, permitting and operating plans and priorities and
related timelines and schedules.
Forward-looking statements and forward-looking information by their
nature are based on assumptions and involve known and unknown
risks, market uncertainties and other factors, which may cause the
actual results, performance or achievements of the Company to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements or information.
We have made certain assumptions about the forward-looking
statements and information, including assumptions about
metallurgical recoveries the geopolitical, economic, permitting and
legal climate that we operate in; the future price of gold and
other commodities; the global concentrate market; exchange rates;
anticipated costs and expenses; production, mineral reserves and
resources, suspensions or delays on our business and the ability to
achieve our goals. In particular, except where otherwise stated, we
have assumed a continuation of existing business operations on
substantially the same basis as exists at the time of this
release.
Even though our management believes that the assumptions made and
the expectations represented by such statements or information are
reasonable, there can be no assurance that the forward-looking
statement or information will prove to be accurate. Many
assumptions may be difficult to predict and are beyond our
control.
Furthermore, should one or more of the risks, uncertainties or
other factors materialize, or should underlying assumptions prove
incorrect, actual results may vary materially from those described
in forward-looking statements or information. These risks,
uncertainties and other factors include, among others, the
following: results of further testwork at Kisladag, recoveries of
gold and other metals; geopolitical and economic climate (global
and local), risks related to mineral tenure and permits; gold and
other commodity price volatility; continued softening of the global
concentrate market; risks regarding potential and pending
litigation and arbitration proceedings relating to the
Company’s, business, properties and operations; expected
impact on reserves and the carrying value; the updating of the
reserve and resource models and life of mine plans; mining
operational and development risk; financing risks, foreign country
operational risks; risks of sovereign investment; regulatory risks
and liabilities including, environmental regulatory restrictions
and liability; discrepancies between actual and estimated
production, mineral reserves and resources; additional funding
requirements; currency fluctuations; community and non-governmental
organization actions; speculative nature of gold exploration;
dilution; competition; loss of key employees; and defective title
to mineral claims or properties, as well as those risk factors
discussed in the sections titled “Forward-Looking
Statements” and "Risk factors in our business" in the
Company's most recent Annual Information Form & Form 40-F. The
reader is directed to carefully review the detailed risk discussion
in our most recent Annual Information Form filed on SEDAR under our
Company name, which discussion is incorporated by reference in this
release, for a fuller understanding of the risks and uncertainties
that affect the Company’s business and
operations.
Forward-looking statements and information is designed to help you
understand management’s current views of our near and longer
term prospects, and it may not be appropriate for other
purposes.
There can be no assurance that forward-looking statements or
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
statements. Accordingly, you should not place undue reliance on the
forward-looking statements or information contained herein. Except
as required by law, we do not expect to update forward-looking
statements and information continually as conditions
change.
Except as otherwise noted, scientific and technical information
contained in this press release was reviewed and approved by Paul
Skayman, FAusIMM, Chief Operating Officer for Eldorado Gold
Corporation, and a "qualified person" under NI 43-101.
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