Alacer +3% on sale of Gediktepe project

|About: Alacer Gold Corp. (ALIAF)|By:, SA News Editor

Alacer Gold (OTCPK:ALIAF +2.8%) sold its 50% non-operating interest in the Gediktepe project, in Turkey, to its joint venture partner

However, Alacer Gold retained a 10% net smelter royalty on all oxide ore production, 2% NSR on all sulphide ore production and it would receive $10M as various milestones were met.

According to pre-feasibility study, Gediktepe project would produce ~345,000 oz of gold, over 8M ounces of silver, 254M pounds of copper and 626M pounds of zinc over a mine life of 11 years.

Capital investment of $164M is estimated for the oxide ore phase, and an additional $71M for the sulphide ore flotation plant.

In-case the JV partner Lidya Madencilik Sanayi ve Ticaret abandon the Gediktepe project, Alacer would retain an option to take back the project for no additional consideration

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