“The improving climate in the country for mining companies has been demonstrated not only by the recent licence agreement signed by the Kyrgyz Government and Chaarat, confirming approval for the plan to take stages one and two of the Chaarat Project to production, but also the successful conclusion of the long running dispute between the Kyrgyz government and Centerra in relation to the Kumtor mine,” said Martin Andersson, chairman.
Andersson added he was delighted with progress over the past months, which has seen good drilling results and all local permitting secured.
“The management team are now working on budgets, plans and timelines to accelerate construction ahead of securing the full construction financing.”
The gold junior recently raised US$15mln from a convertible loan issue to fund completion of a bankable feasibility study at the project. An intensive drilling programme and construction of access road is already underway.
Losses in the half year to June were US$3mln (US$1.95mln) as activity at the site stepped up. Cash at the half year end was US$13.7mln.