REG - Ariana Resources PLC - 2025 Gold Production Guidance

Ariana ResourcesAnnouncement

18/03/2025 07:00

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RNS Number : 9960A  Ariana Resources PLC  18 March 2025

 

18 March 2025

 

2025 GOLD PRODUCTION GUIDANCE

 

25% PRODUCTION INCREASE EXPECTED

 

Ariana Resources plc ("Ariana" or "the Company"), the AIM-listed mineral
exploration and development company with gold project interests in Africa and
Europe, is pleased to announce the production guidance for 2025 from its
interest in the Zenit Mining Operations ("Zenit" or "the Project"). Zenit is
23.5% owned by Ariana through its shareholding in Zenit Madencilik San. ve
Tic. A.S.

 

Highlights:

·    Increased gold production guidance for 2025 from Zenit is expected to
be c.25,000 ounces of gold* (2024: c.20,000 ounces of gold*), inclusive of
gold production from Kiziltepe and Tavsan.

·    Average monthly mill throughput is expected at c.25,000 tonnes of
ore, with a stockpile of c.20,000 tonnes at c.1.95 g/t Au currently maintained
at Kiziltepe.

·    Ore stockpiled at Tavsan and awaiting stacking onto the heap-leach
pads is c.600,000 tonnes as they remain in construction.

·    Average grade of gold to be mined during the first half year from
Kiziltepe is expected to be c.1.90 g/t Au and gold recovery is expected to
average c.90%.

·    Open-pit mining will continue largely at the Arzu South pit at
Kiziltepe and focusing on high-grade (c.2.5 g/t gold) areas at the Tavsan Main
pit during 2025.

·    Working capital cash on hand within Zenit is currently being
maintained at c.US$10 million.

* Silver production guidance is not provided, as silver is treated as a
by-product credit. All figures are stated gross to the Project unless
otherwise stated.

 

Dr. Kerim Sener, Managing Director, commented:

"As the Tavsan Mine nears completion, we are very pleased to provide our
production guidance for 2025, which is expected to be a 25% increase from last
year. Production from both Kiziltepe and Tavsan is expected to be
approximately 25,000 ounces of gold during the year delivering at an estimated
combined cash cost of c.US$1,500 per ounce. High-grade ore from Tavsan will be
processed through the CIL plant, while the heap-leach operation is
commissioned in the coming months.

"Construction of the Tavsan mine is now largely drawing to a close, with the
completion of the heap-leach pads the only major outstanding task. The
processing plant automation works are very much advanced, and the remaining
work on the electrification of the heap-leach area and associated substation
installation are complete. With better weather conditions expected through the
spring, we expect completion of the heap-leach pads thereafter.

"A substantial stockpile of already mined ore is awaiting stacking onto the
heap-leach pads at Tavsan, which means there will be minimal delay between the
completion of the pads and the commencement of leaching operations."

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018 ("UK MAR").

Summary of Project

 

The Kiziltepe gold-silver Mine was expected to deliver up to 20,000 oz of gold
per annum, as a CIL operation, over eight years of initial mine life from 2017
to 2024. The latest update to the Reserves in March 2024, enabled the mine
life to be extended further. The operating company, Zenit Madencilik San. ve
Tic. A.S., is a partnership between Ariana (23.5%), Proccea (23.5%) and
Ozaltin (53%), with management control being with Proccea. Commercial
production was initiated at Kiziltepe in July 2017 and has continued without
interruption, consistently delivering production above plan.

 

The latest Resource and Reserve estimate for Kiziltepe was based on recent
drilling and geological interpretation in March 2024. Detailed technical and
economic assessments are underway on several satellite vein systems not
currently in the mining plan, in anticipation of these being developed in
future years. The Kiziltepe operation has been operational for eight years and
current Reserves are sufficient to enable production through to 2026. Further
exploration and resource development work remains underway in the expectation
that further extensions to mine life are possible.

 

The Tavsan gold-silver Mine is located 130 kilometres by road from Kiziltepe
Mine and is being developed as a heap-leach operation. Following the approval
of its Environmental Impact Assessment and associated permitting, Tavsan is
being developed as Zenit's second gold mining operation in Turkey. It is
currently in construction, with mining underway since early 2024. A new
resource extension drilling programme was initiated in January 2025 and
remains underway. The results of this drilling programme will be integrated
into a revised Resource and Reserve estimate. Production of gold from the
heap-leach at Tavsan is expected during 2025.

 

Contacts:

 

 Ariana Resources plc                          Tel: +44 (0) 20 7407 3616
 Michael de Villiers, Chairman
 Kerim Sener, Managing Director
 Beaumont Cornish Limited (Nominated Adviser)  Tel: +44 (0) 20 7628 3396
 Roland Cornish / Felicity Geidt
 Zeus Capital Limited (Broker)                 Tel: +44 (0) 203 829 5000
 Harry Ansell / Katy Mitchell
 Yellow Jersey PR Limited (Financial PR)       Tel: +44 (0) 7983 521 488
 Dom Barretto / Shivantha Thambirajah /        arianaresources@yellowjerseypr.com (mailto:arianaresources@yellowjerseypr.com)

Bessie Elliot

 

Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated
Adviser and is authorised and regulated by the FCA. Beaumont Cornish's
responsibilities as the Company's Nominated Adviser, including a
responsibility to advise and guide the Company on its responsibilities under
the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed
solely to the London Stock Exchange. Beaumont Cornish is not acting for and
will not be responsible to any other persons for providing protections
afforded to customers of Beaumont Cornish nor for advising them in relation to
the proposed arrangements described in this announcement or any matter
referred to in it.

 

Editors' Note:

 

About Ariana Resources:

Ariana is an AIM-listed mineral exploration and development company with an
exceptional track-record of creating value for its shareholders through its
interests in active mining projects and investments in exploration companies.
Its current interests include a major gold development project in Zimbabwe,
gold production in Türkiye and copper-gold exploration and development
projects in Cyprus and Kosovo.

 

Ariana owns 100% of the Dokwe Gold Project ("Dokwe") in Zimbabwe. Dokwe is
made up of the Dokwe North and Dokwe Central gold deposits which are located
in the Tsholotsho District near the city of Bulawayo. The deposits have a
combined in-pit JORC Measured, Indicated and Inferred Resource of over 1.42
million ounces of gold (as at March 2025) and the project represents the
largest undeveloped gold project in Zimbabwe.

 

The Company holds 23.5% interest in Zenit Madencilik San. ve Tic. A.S. a
joint venture with Ozaltin Holding A.S. and Proccea Construction Co. in
Türkiye which contains a depleted total of c. 2.2 million ounces gold
equivalent (as at March 2024, using a price ratio of 90 Ag to 1 Au). The joint
venture comprises the Kiziltepe Mine and the Tavsan and Salinbas projects.

 

The Kiziltepe Gold-Silver Mine is located in western Türkiye and contains a
depleted JORC Measured, Indicated and Inferred Resource of 171,700 ounces gold
and 3.3 million ounces silver (as at March 2024). The mine has been in
profitable production since 2017 and has been producing at an average rate of
c.22,000 ounces of gold per annum. A Net Smelter Return ("NSR") royalty of
2.5% on production is being paid to Franco-Nevada Corporation.

 

The Tavsan Gold Mine is located in western Türkiye and contains a JORC
Measured, Indicated and Inferred Resource of 311,000 ounces gold and 1.1
million ounces silver (as at March 2024). Following the approval of its
Environmental Impact Assessment and associated permitting, Tavsan is being
developed as the second gold mining operation in Türkiye and is currently in
construction. A NSR royalty of up to 2% on future production is payable to
Sandstorm Gold.

 

The Salinbas Gold Project is located in north-eastern Türkiye and contains
a JORC Measured, Indicated and Inferred Resource of 1.5 million ounces of gold
(as at July 2020). It is located within the multi-million ounce Artvin
Goldfield, which contains the "Hot Gold Corridor" comprising several
significant gold- copper projects including the 4 million ounce Hot Maden
project, which lies 16km to the south of Salinbas. A NSR royalty of up to 2%
on future production is payable to Eldorado Gold Corporation.

 

Ariana owns 76% of UK-registered Western Tethyan Resources Ltd ("WTR"), which
operates across south-eastern Europe and is based in Pristina, Republic of
Kosovo. The company is targeting its exploration on major copper-gold deposits
across the porphyry-epithermal transition. WTR is being funded through a
five-year Alliance Agreement with Newmont Mining Corporation
(www.newmont.com) and is separately earning-in to up to 85% of the Slivova
Gold Project.

 

Ariana owns 61% of UK-registered Venus Minerals PLC ("Venus") which is focused
on the exploration and development of copper-gold projects in Cyprus,
containing a combined JORC Indicated and Inferred Resource of 16.6Mt @ 0.45%
to 0.80% copper (excluding additional gold, silver and zinc).

 

Ariana owns several investments in listed and private companies via its
Australian subsidiary Asgard Metals Pty. Ltd. ("Asgard"), which also provides
technical input into the various investee company exploration programmes.
Investments have been made in high-value potential, discovery-stage mineral
exploration companies located across the Eastern Hemisphere and within easy
reach of Ariana's operational hubs in Australia, Türkiye, UK and Zimbabwe.
Its most advanced interest is through a 4.9% holding of Panther Metals Limited
(ASX: PNT).

 

Zeus Capital Limited is the broker to the Company and Beaumont Cornish Limited
is the Company's Nominated Adviser.

 

For further information on Ariana, you are invited to visit the Company's
website at www.arianaresources.com.

 

Ends.

 

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