Tuesday, January 23 2024 15:35

ArmInfo. The transfer of shares by the Lydian Armenia company, which operates the Amulsar mine, as a gift to the government of Armenia was the company's decision. Head of the economic department, Vahan Kerobyan, announced in an interview with Public Television.  "Taking the government as a partner is advisable for the company in the context of creating a more comfortable working environment; moreover, thanks to this step,  many risks will be leveled," the minister said.

At the same time, he noted that such a decision by the company may be  a temporary strategy, and the government does not plan to be an  eternal partner of the Amulsar project. "This outcome is a solution  for the moment and acceptable to both parties at the moment. And we  hope that by the end of the year the Amulsar mine will be developed,"  he concluded.

On January 18, the Armenian government approved the decision to  accept a 2.5% of the Lydian Armenia shares as a gift.  

Presenting the project, Deputy Minister of Economy Ani Ispiryan  recalled that as part of the project, the company committed to  attract investments in the amount of $250 million and, in addition to  payments for the implementation of environmental projects, also  annually pay $7 million to nearby communities for social projects.   Accepting a gift of company shares does not entail any financial  obligations on the part of the state, Ispiryan emphasized. The  authority to manage shares will be assigned to the Ministry of  Economy of the Republic of Armenia. 

On February 22, 2023, the Government of the Republic of Armenia,  Lydian Armenia CJSC and the Eurasian Development Bank signed a  memorandum of understanding, which marked the restart of the program  for the exploitation of the Amulsar field. It was noted that within  the framework of the memorandum, $150 million will be raised, of  which $100 million will be loan funds from the EDB, $50 million will  be provided by a local bank, and an additional $100 million will be  invested outside the agreement by shareholders. After signing the  memorandum, Minister of Economy of the Republic Vahan Kerobyan stated  that the operation of the Amulsar mine will provide the state  treasury with annual revenues of 30-40 billion drams, and with the  launch of the mine, about 1,000 new jobs will open in the Vayots Dzor  region. As part of the deal, the Armenian government will receive  12.5% of the company's shares, for which it will not pay anything,  but instead will insure the deal against certain risks.  -sh-

The field is the second largest in reserves in Armenia. According to  the company, the deposit contains approximately 73,733 kg of gold  with an average grade of 0.78 g per ton, as well as 294,367 tons of  silver with an average grade of 9.29 g per ton. It is located in the  southeast of the country, 13 km from the resort town of Jermuk, in  the interfluve of the Arpa and Vorotan rivers.