The Ivrindi project is located in Western Turkey and contains several gold and silver bearing quartz veins and breccia zones hosted by Upper Miocene andesitic volcanic and volcano-clastic rocks. A typical vein zone consists of several discrete low sulphidation style epithermal veins separated by short intervals of quartz stockwork and silicified or fresh andesite.
A Feasibility Study was completed in 2017 which outlined a 21,260 tpd operation, extracting material from four open-pits at Ballıktepe, Karteldere, Kabaktepe and Güney-Boyun. The mined ore will go through a three-stage crushing circuit and onto a heap-leach pad followed by an adsorption-desorption-recovery process. Recoveries are estimated to average 70% for gold and 46% for silver and the mine is expected to produce approximately 159 koz of gold and 348 koz of silver per year over an initial 6 year life. Construction began in 2018 and the project is expected to begin producing gold and silver during the 2019 year.
The historic Proven and Probable Reserves (2017) are estimated at 45.0 Mt at 0.7 g/t gold and 1.6 g/t silver for 964 kozs of contained gold and 2.35 Mozs of contained silver. The reserves estimate was based on 86,100 metres of diamond drilling at the project.*
*This is a historic reserve estimate and a Qualified Person has not done sufficient work to classify this estimate as a current mineral reserve estimate. Sandstorm Gold is not treating this as a current mineral resource estimate.
Tümad Madencilik received a $40 million project finance loan from the European Bank for Reconstruction and Development. The funds will be used to develop the Lapeseki and Ivrindi projects.
The Ivrindi project received a positive decision on its Environmental Impact Assessment from the Ministry of Environment and Urban Planning in Turkey.