The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Globe Investor

News Sources

Take control of your investments with the latest investing news and analysis

Press release from CNW Group

Alacer Announces Exercise of Çöpler Option by Lidya Mining

Thursday, December 08, 2011

Alacer Announces Exercise of Çöpler Option by Lidya Mining17:38 EST Thursday, December 08, 2011TORONTO, Dec. 8, 2011 /CNW/ - Alacer Gold Corp. ("Alacer" or the "Company") [TSX:ASR, ASX:AQG] announces that it has received notice from Lidya Madencilik San. ve Tic. A. Ş., (formerly, Çalık Maden İşletmeleri San. ve Tic. A.Ş.) ("Lidya Mining"), a subsidiary of Çalık Holding A.Ş., that it is exercising its call right pursuant to a shareholders' agreement to subscribe for a further 15% of the issued and outstanding shares of Anagold Madencilik Sanayi ve Ticaret A.Ş. (formerly, Çukurdere Madencilik Sanayi ve Ticaret A.Ş.) ("Anagold") for US$37.8 million. Anagold, a subsidiary of the Company, conducts the Company's primary development and extraction activities for the Çöpler gold operations. The purchase of the 15% of the issued and outstanding shares of Anagold will increase Lidya Mining's holdings in Anagold to 20% and is expected to close within 30-60 days. The shareholders' agreement among the Company, Kurudere Madencilik A.Ş., Anagold, Lidya Mining and Çalık Holding A.Ş. is dated August 12, 2009 and can be found on SEDAR at Dowling, President and CEO of Alacer commented "The take up of the full 20% by Lidya Mining under the shareholders' agreement is not only a vote of confidence in the Çöpler project, but strengthens our strategic relationship with one of the most respected organizations in Turkey. This strategic relationship has and continues to help strengthen the sustainability and the growth of the Company's mining interests in Turkey. We are very excited to continue to work with such an esteemed strategic partner."About AlacerAlacer is a leading intermediate gold company with operations in both Australia and Turkey.AustraliaAlacer has three operating gold mines in Australia, namely the Higginsville and South Kalgoorlie Operations; and a 49% interest in the Frog's Leg underground mine. The South Kalgoorlie Operations and the Frog's Leg interest were acquired following the successful takeover of Dioro Exploration NL, which was completed in March 2010.TurkeyAlacer is recognized as a leader in exploration and development in Turkey and, with the start‐up of Çöpler, will soon be among Turkey's leading gold producers. Çöpler is currently 95% owned by Alacer and 5% by Lidya Mining.  Initial plans at Çöpler are to produce approximately 1.42 million leachable ounces of gold at costs consistent with the lower end of industry standards. Average annual production is expected to be about 175,000 gold ounces. Additional production expansion from the sulfide gold reserve is expected to add 2.25 million ounces. A detailed feasibility study is underway. In addition, Alacer holds a significant pipeline of prospective gold and base metal projects.About Lidya MiningLidya Mining is the mining arm of Çalık Holding A.Ş., a leading Turkish conglomerate spanning the mining, textiles, energy, construction, finance, telecommunications and media sectors. In addition to its involvement with the Çöpler project, Lidya Mining is active in the exploration of new mining ventures both within and outside of Turkey.Cautionary StatementsCertain statements contained in this report constitute forward‐looking information, future oriented financial information, or financial outlooks (collectively "forward‐looking information") within the meaning of Canadian securities laws. Forward‐looking information may relate to this report and other matters identified in Alacer's public filings, Alacer's future outlook and anticipated events or results and, in some cases, can be identified by terminology such as "may", "will", "could", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "projects", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts and include, but are not limited in any manner to, those with respect to proposed exploration, communications with local stakeholders and community relations, status of negotiations ofjoint ventures, commodity prices, mineral resources, mineral reserves, realization of mineral reserves, existence or realization of mineral resource estimates, the development approach, the timing and amount of future production, timing of studies and analysis, the timing of construction of the proposed mines and process facilities, capital and operating expenditures, economic conditions, availability of sufficient financing, exploration plans and any and all other timing, exploration, development, operational, financial, budgetary, economic, legal, social, regulatory and political factors that may influence future events or conditions. Such forward‐looking statements are based on a number of material factors and assumptions, including, but not limited in any manner, those disclosed in any other Alacer filings, and include exploration results and the ability to explore, the ultimate determination of mineral reserves, availability and final receipt of required approvals, titles, consents, licenses and permits, sufficient working capital to develop and operate the mines, access to adequate services and supplies, commodity prices, ability to meet production targets, foreign currency exchange rates, interest rates, access to capital markets and associated cost of funds, availability of a qualified work force, ability to negotiate, finalize and execute relevant agreements, lack of social opposition to the mines, lack of legal challenges with respect to the property or the Company and the ultimate ability to mine, process and sell mineral products on economically favorable terms. While we consider these assumptions to be reasonable based on information currently available to us, they may prove to be incorrect. Actual results may vary from such forward looking information for a variety of reasons, including but not limited to risks and uncertainties disclosed in other Alacer filings at and other unforeseen events or circumstances. Other than as required by law, Alacer does not intend, and undertakes no obligation to update any forward‐looking information to reflect, among other things, new information or future events.For further information: Edward Dowling or Lisa Maestas ‐ North America at +1‐303‐292‐1299 Rohan Williams - Australia at +61‐8‐9226‐0625 Roger Howe - Australia at +61‐2‐9953‐2470