Ariana Resources PLC (AIM:AAU) said the strong gold price meant 2023 was one of the best years ever for revenue from its Kiziltepe operation in Turkey.
In total, the mine produced and sold 17,683 ounces, generating gross revenues of US$39.2 million at a gold price of US$2,218/oz (including silver credits) with the average gold price received US$1,945/oz.
Ariana, which has a 23.5% interest in production from Kiziltepe, added that mining is continuing at Arzu North, Derya and Banu, with new forestry permits expected to enable the extension of the Banu pit in 2024.
Kerim Sener, managing director, commented: "Kiziltepe has now recorded seven highly successful years of production and the mine continues to perform extremely well.
“We are currently working towards completing an updated resource/reserve estimate, as we plan to bring Kiziltepe mining operations to a close over the next few years.
“Beyond this, we continue to explore within the immediate vicinity to identify further sources of potential mill supply that are not currently part of the mining plan.
“We anticipate that these would be operated as satellite operations, some of which are located within Zenit-owned licences, and others which we have identified within neighbouring licence areas.
"During 2023, the strong gold price environment resulted in one of the best years for gold revenue since operations started.
“This has certainly boosted the capacity for Zenit to continue self-funding the development of the Tavsan mine build without recourse to debt finance.
“Mining operations have recently commenced at Tavsan and the Main Pit development is proceeding well, with approximately 40,000 tonnes of ore currently stockpiled ready for heap-leaching," Sener said.
Construction of the heap-leach, specifically the laying down of liners, is currently paused due to poor weather conditions and this work will recommence in the next drier and warmer weather period.
"In summary, we are pleased with our performance operationally in 2023, and we look forward to updating the market in 2024 on the developments of the portfolio."