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TSX:LYD

Lydian International Ltd.

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Market:
TSX
Market Cap:
$57 m
Price
0.08 CAD
Change
0.00%
52 weeks high
0.24
52 weeks low
0.06

Lydian International is an exploration and development company with a highly experienced management and technical team who has a proven track record in discovering and developing new projects in unfamiliar and frontier settings.

Lydian International Ltd is an onshore Jersey, Channel Islands based mineral exploration Company. It is listed on the Toronto Stock Exchange ("TSX") in Canada with shareholders from around the world principally the USA, Canada and Europe including the UK.  As a Jersey based and Toronto listed company, Lydian is subject to all the rules and regulations that apply to both Channel Island companies and Canadian listed operations. This is important as it gives investors and third parties assurance that the governance and operations of the company are transparent and straight forward. Lydian in turn owns operating subsidiaries in its various countries of operation of which by far the most significant is Geoteam in Armenia. This local Armenian company holds Lydian's Amulsar gold project. Once this is in development and profitable, Geoteam will be selling any gold produced to (an) international third party/(ies) as close to the then market price (“the Spot price”) as is commercially possible and the Lydian Group will pay via Geoteam all its corporation taxes and most other taxes (employment and land taxes & royalties etc) where these profits are made, which is at the local operating level: for Geoteam this means in Armenia. So while Lydian is based outwith its main operating areas (ie “offshore” Armenia) for good regulatory and transparency reasons, it has onshore local operating subsidiaries which will pay taxes like any other resident company in the countries that it operates in. Once profitable, it is expected that Geoteam will pay more taxes in Armenia than any other locally owned resident Armenian company. The Lydian Group already publishes and will continue to publish the payments it makes for whatever reason to any Government ever quarter in its quarterly Management Discussion & Analysis (MD&A). These reports can be found at Reports and Financial Statements.

The probability of discovering large, "World-Class" gold projects is higher in prospective yet neglected regions. Lydian has illustrated this unequivocally with its discovery of the Amulsar gold project in Armenia discovered in 2006. Lydian has started the year with an on-time, on-target Gold resource update  of 1.8Moz gold at 1.1 g/t in Measured, 0.6Moz gold at 1.0g/t in Indicated and 1.7Moz gold at 0.8 g/t in Inferred using a 0.3 g/t cut-off. Resource figures were updated on March 2013. Importantly this resource remains open in all directions with ready means of finding more ounces in all directions including at depth. M&I mineral resources at Amulsar are commonly surrounded laterally and sometimes at depth by a halo of Inferred category resource. This year the Company has drilled a number of exploration diamond and reverse circulation drill holes. There is a planned two year construction period with full production estimated in 2016.

 

Lydian has a strong social agenda and a unique understanding of the complex political backdrop to the region in-which it operates. Lydian develops its projects responsibly with exceptional emphasis on social and environmental awareness and care. The company minimises environmental impact and engages local communities in order to deliver relevant and sustainable social development initiatives.

 

Two of Lydian’s major shareholders are the International Finance Corporation (IFC; part of the World Bank Group) and the European Bank for Reconstruction and Development (EBRD). The IFC and EBRD provide Lydian with influential in-country support and valuable advice to manage environmental, social and governance risks. This bolsters Lydian's competitive advantage in securing and retaining high quality assets in prospective unfamiliar and frontier settings. Other major shareholders include a number of North American and European natural resource institutional investors.

Amulsar

The Amulsar project covers a region of epithermal-type gold mineralisation located in southern Armenia, discovered by Lydian in 2006. It is still open in all directions, including depth.  All licences are held 100% by Geoteam, an Armenian registered closed joint stock company.  Geoteam CJSC is owned 100% by Lydian International Limited.

The Amulsar gold project is located 170km south of Armenia's capital Yerevan on the border between the provinces (Marz) of Vayots Dzor and Sunnik. Lydian holds two Mineral Exploration Licences and a mining licence for the Artavasdes and Tigranes open pit at Amulsar, through its 100% owned Armenian subsidiary Geoteam CJSC. The Amulsar licences cover a total of 65km2.

In terms of infrastructure, Amulsar is well located:

  • Main sealed highway (paved)- runs between Yerevan and Iran and passes some 4km to the south of the project available to the town of Jermuk. A further 15 km dirt road is available from Jermuk to the mine site passing North and west of Amulsar
  • Electricity - high tension power lines pass along the main road and electricity is charged at $0.06/kWh
  • Water - available year round from the Vorotan River and the Spandaryan reservoir (3km east and 8km south east respectively)
  • Gas pipeline - runs between Yerevan and Iran and is currently under construction. It passes to the east of Amulsar some 4km
  • Fibre optic internet cable - laid during 2010
  • Small hydro-electric plant - located north east of Amulsar on the Vorotan river
  • Local labour - several small towns and villages in the vicinity of Amulsar where Lydian will source the majority of its labour force
  • Out of country supplies, material and equipment can be shipped to the ports of Poti or Batumi, Georgia, then trucked through Georgia and Armenia to the Amulsar project site.

lydian armenia detail blue large

 

 

For more information on Amulsar please click here 

 

Kela Project - Georgia

The Kela project was rediscovered by Lydian geologists during reconnaissance exploration in 2010. Initial project-scale mapping and sampling has returned anomalous gold-only grab sample results of 1g/t to 4g/t gold over a strike distance of 2km and from numerous sub-parallel fault zones and hydrothermal breccia veins located structurally below an interpreted silica-cap. These faults are located adjacent to a pophyritic, pyrite-sericite altered quartz-diorite intrusion which returned anomalous gold values of up to 0.3 g/t gold in grab samples.

Lydian’s Kela License conditions require submission of an Environmental Impact Assessment and interim report on potential resources. Lydian has had Georgia in its sights since early 2006 and has conducted various in-country investment and geological reviews. The country is considered highly prospective for gold and has entered a period of committed reform and rapid growth

 

kela

USA, Jersey & Republic of Armenia.

Edward Sellers

Interim President and Chief Executive Officer

Mr. Sellers is one of Canada’s leading restructuring advisors, with recognized expertise in related governance, finance, acquisitions and divestitures. Mr. Sellers currently serves as President and Managing Director of Black Swan Advisors Inc., providing independent interim governance support and leadership to enterprises in transition, decline or distress. He has served as a director, advisor and lawyer to large public and private enterprises for over 30 years. Prior to establishing Black Swan in 2016, Mr. Sellers served as a partner and Chair of the national restructuring practice at Osler, Hoskin & Harcourt LLP, developing a leading multidisciplinary team focused on stakeholder engagement, multi-party negotiation, process management, and transaction implementation. Prior to joining Osler in 1997, Mr. Sellers was a partner with another national law firm, with recognized expertise leading complex commercial transactions of all types.

 

Hayk Aloyan

Managing Director, Armenia

PhD Ore Deposit Geology

Dr. Aloyan has 17 years of mining exploration industry experience. He was formerly Deputy Chief of the Geological Survey in the Armenian Mining and Metallurgical Institute. Dr. Aloyan is widely published on Armenian metallogenesis, he is also a specialist in resource estimation.

Lydian U.S. Office

5655 S Yosemite Street
Suite 400 
Greenwood Village, Co 80111
USA
Tel: +1 720 307 5087

Registered Office

Suite 3
5/6 Esplanade
St. Helier
Jersey
JE2 3QA, Channel Islands
Tel: +44 1534 747 890

 

Armenian Office

37 Hanrapetutyan Street
4 floor
Yerevan 0010
Republic of Armenia
Tel: +3 741 054 6037
Fax: +3 741 058 6037

For further information please click here