DGMC, Dundee Precious Metals sign agreement on a new $10mln program

DGMC and Dundee Precious Metals signed an agreement on a new $10mln
investment program

ArmRadio.am
11.08.2006 16:58

Armenian `Deno Gold Mining Company’ (DGMC) and
Canadian Dundee Precious Metals signed an agreement on new $10mln
investment program in Kapan ore-dressing plant in Yerevan, Mediamax
reported.

As the DGMC Public Relations Officer Vahe Mkhitaryan stated at the
press conference today, the investment program will create the
necessary prerequisites for the large-scale examination of the Kapan
mine area reserves.

The investment package envisages a transfer of 80% shares of Dundee
Precious Metals to DGMC, the exclusive owner of which is the
`Vatrin Investment’ company.

As the President and the General Director of Dundee Precious Metals
Jonattan Goodman stated, the company took upon itself the
responsibility to gain crediting of the Kapan ore-dressing plant by
the European Bank for Reconstruction and Development (EBRD) for the
increase of the production of the plant to 1mln tons a year. At
present the annual volume of the production makes 300 000 tons of
production.