EDB has not yet made a decision on investing in Amulsar gold mine in Armenia

YEREVAN, December 14. /ARKA/. The Eurasian Development Bank (EDB) has not yet made a decision on investing in the Amulsar gold mine in Armenia, EDB Senior Managing Director Denis Ilyin said at a press conference in Almaty, Kazakhstan.

He said this project is extremely important for Armenia economy and this is why it should be ‘treated very carefully and cautiously.’

According to him, in order to make a final decision, it is necessary not only to look into the findings of a series of examinations, but also to work out a plan, first of all, of environmental support of the project in order to preserve the national park, which is located there, ‘to get all those economic benefits from the project, which the government and local residents expect and at the same time to maximize the preservation of the unique environment of the region.’

He said now the environmental plan for the project is being developed and if it is accepted by the client and confirmed and the bank is satisfied with it, then the moment of making a final decision will come.

In June, Hayk Aloyan, Executive Director of Lydian Armenia, a company that is developing the Amulsar gold mine in Armenia's Vayots Dzor region, said it will produce first gold in 2024.

He said the company signed a contract with Allied Gold company, which will perform construction work on the mine and handle its further operation. According to him, Allied Gold is an Australia-based international company that annually mines about 500 thousand ounces of gold.

Amulsar gold mine is Armenia's second–largest gold mine in terms of pure gold reserves. It is located in the southeast of the country, 13 km from Jermuk resort town, between rivers Arpa and Vorotan. The deposit is said to contain about 31 million tons of ore and 40 tons of pure gold.

Lydian Armenia was established in 2005. It is a 100% subsidiary of Lydian Canada Ventures owned by the American Orion Mine Finance and Canada's Osisko Gold Royalties.

Until recently the company was unable to develop the Amulsar mine in full due to protests by environmentalists and residents of the neighboring communities. They are concerned that the operation of the mine may lead to the pollution of underground waters of Jermuk and Lake Sevan, causing an environmental disaster. -0-