Eldorado Gold Places Skouries Project in Greece on Care and Maintenance
VANCOUVER, Nov. 9, 2017 /CNW/ - Eldorado Gold Corporation ("Eldorado" or the "Company") announces it will move the Skouries development project into care and maintenance. Dialogue has continued with Greece's Ministry of Energy and Environment ("MoE") with respect to the development of the Company's subsidiary Hellas Gold S.A.'s, Kassandra Mine assets in Halkidiki, Northern Greece. However, the MoE has failed to issue the amended Electromechanical Installation permit for the Skouries flotation plant as well as other matters including, but not limited to, the relocation of antiquities at the Skouries site.
The Company has also initiated legal action within the statutory deadline in order to enforce and protect its legal rights. This legal action consists of three lawsuits which have been filed with the Council of State ("CoS"), requesting judicial protection against the Ministry's failure to issue routine installation permits, resulting in unjustifiable delays to the development of the Skouries facilities. Furthermore, the Company has filed with the CoS a petition for non-compliance of the Ministry with a previous decision granted by the CoS.
The Company will re-assess its investment in the Skouries project upon approval and receipt of the required permits, coupled with a supportive government open to discussions regarding the use and implementation of best available technologies.
Olympias Phase I progress on historical tailings cleanup continues and the ramp-up to commercial production at Olympias Phase II during the quarter demonstrate our commitment to high environmental standards and long term partnership with communities as well as our ability to construct and operate mines in Greece. Early indications from exploration drilling at Stratoni to extend the mine life are positive.
George Burns, Eldorado's President and CEO stated, "Although we have made good progress on the Olympias mine, we require the necessary permits and government support prior to investing further in Skouries. As a consequence we are now taking the necessary legal action to enforce the Company's rights while continuing efforts to resolve outstanding matters through ongoing dialogue."
About Eldorado Gold
Eldorado is a leading intermediate gold producer with mining, development and exploration operations in Turkey, Greece, Canada, Romania, Serbia and Brazil. The Company's success to date is based on a highly skilled and dedicated workforce, safe and responsible operations, a portfolio of high-quality assets, and long-term partnerships with the communities where it operates. Eldorado's common shares trade on the Toronto Stock Exchange (TSX: ELD) and the New York Stock Exchange (NYSE: EGO).