Erdene Celebrates First Gold Pour at Bayan Khundii Mine
Erdene Resource Development Corp. (TSX:ERD; MSE:ERDN; OTCQB:ERDCD) has marked a significant milestone by successfully completing its first gold pour at the Bayan Khundii Gold Mine, located in the promising Khundii Minerals District of Mongolia. This achievement highlights the company's commitment to becoming a leading player in gold production while fostering economic growth for the local communities.
Background on Bayan Khundii
The Bayan Khundii mine is recognized as one of the world's highest-grade open-pit gold mines. With a remarkable average head grade of 4.0 g/t gold, the mine has total gold reserves of approximately 513,700 ounces. This promising project aims to produce around 85,000 ounces of gold annually at a low all-in sustaining cost.
Development Progress
Construction at Bayan Khundii has progressed rapidly since its inception. From a greenfield discovery in 2015 to the latest gold pour on September 14, recent developments have come to fruition in just over two years. Peter Akerley, President and CEO of Erdene, noted that the team has executed this transformation with exceptional diligence, underscoring the collective effort of employees, contractors, investors, and strategic partners.
Local Economic Impact
Gold production from the Bayan Khundii mine will be sold directly to Mongolia's Central Bank at the current market price. This move is anticipated to significantly contribute to the nation's foreign currency reserves, thereby enhancing economic stability. The success of this project signifies a positive collaboration that benefits not just shareholders but also the community.
Team Acknowledgment and Future Plans
Mr. Akerley expressed his gratitude to all who contributed to this landmark achievement. He acknowledged that the remarkable pace of development, from the discovery of high-grade gold to production, speaks volumes about the dedication of the Erdene team. The ongoing effort to ramp up exploration indicates a proactive approach toward extending mine life and increasing production capacity within the Khundii Minerals District.
Partnership and Future Prospects
H.E. Stephen Doust, Canada’s Ambassador Designate to Mongolia, remarked on the Bayan Khundii Gold Mine's importance to the deepening partnership between Canada and Mongolia. As the project continues to unfold, the anticipated benefits for various stakeholders are expected to enhance the long-term prospects of both nations.
Exploration Strategy
With a proven track record in successful exploration, Erdene is committed to exploring further opportunities within the Khundii Minerals District. This strong focus on discovery aligns with the company’s strategy to solidify its position as a leader in the gold sector not just in Mongolia but across the globe.
Contact Information
For additional insights and updates, interested parties can reach out to Peter C. Akerley, President and CEO, or Robert Jenkins, CFO.
Contact via phone: (902) 423-6419
Email: info@erdene.com
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Frequently Asked Questions
What is the significance of the first gold pour at Bayan Khundii?
The first gold pour at Bayan Khundii represents a major milestone for Erdene and highlights the mine's operational capabilities and its role in local economic development.
How much gold is expected to be produced annually from Bayan Khundii?
The mine is expected to produce around 85,000 ounces of gold each year, contributing significantly to the local and national economy.
What is the average head grade of the gold at Bayan Khundii?
The average head grade of the gold at Bayan Khundii is 4.0 g/t, which is considered high compared to other gold mines globally.
Who is responsible for the successful development and operations of the mine?
The dedicated team at Erdene Resource Development Corp., including employees, contractors, and strategic partners, plays a crucial role in the effective development and operation of the mine.
How does gold production impact Mongolia's economy?
Gold sales to Mongolia's Central Bank are expected to bolster the country’s foreign currency reserves, thereby enhancing overall economic stability.
