35.4 C
Supported byspot_img

Eldorado Gold assets write off triggered by Greece troubled mining operations

Member of Europium Groupspot_img
Supported byspot_img

Eldorado Gold, Canadian based gold exploration company, has ongoing issues in both of its SEE gold exploration properties, in Romania and Greece. Recent events with Greece triggered the high assets write off.

Vancouver-based Eldorado Gold Corp. (TSX:ELD) will be writing down the value of its assets by up to US$1.6 billion, primarily because of its troubled mining operations in Greece.

Eldorado has been at odds with the Greek government for some time and said two weeks ago that it was suspending work immediately at one of its four projects in Greece as a result and was reviewing all of its activities in that country.

Supported by

It said Monday that it remains committed to having a presence in Greece and has budgeted $155 million in development spending at the Olympias project — about two-thirds of Eldorado’s total development budget for 2016..

However, Eldorado estimates that its annual review of assets will probably result in an impairment expense of between US$1.2 billion and US$1.6 billion after taxes, mostly because of Greece.

Eldorado previously announced on Jan. 12 that its Skouries development in Greece would suspend work immediately, resulting in 600 layoffs and that a further 500 jobs at the Olympias project would likely be cut this year.

Besides four mines operating or under development in Greece, Eldorado produces gold from mines in Turkey and China and developing a new mine in Romania.

Canadian press


Supported byElevatePR Digital

Related News

Mongolia: Balancing mineral wealth, governance and global diplomacy

From its origins as a satellite state within the Soviet orbit, Mongolia has transformed into a dynamic democracy pulsating with entrepreneurial spirit. Transitioning from...

EBRD invests $10 million in sustainable gold mining project with Khan Altai Resource in Mongolia

The European Bank for Reconstruction and Development (EBRD) has committed a $10 million (€9.2 million) loan to Khan Altai Resource (KAR), a special purpose...

Orano risks losing uranium mining rights in Niger as Russia eyes Imouraren deposit

French nuclear giant Orano SA may lose its right to mine uranium in Niger by June 19, 2024, after the country rejected its development...

Japan to launch deep-sea cobalt and nickel mining near Ogasawara Islands in 2026

Japan's ambitious plan to start mining cobalt and nickel near the remote Ogasawara Islands marks a significant step in securing critical raw materials necessary...
Supported by
Supported by
Supported by
error: Content is protected !!