Author: Kanayan Tamar

GLOBAL GOLD, CONSOLIDATED RESOURCES RELEASE REPORT FOR TOUKHMANUK, GETIK

PanARMENIAN.Net
October 19, 2011 – 18:44 AMT

PanARMENIAN.Net – Global Gold Corporation and privately held
Consolidated Resources Armenia announced that an updated NI-43-101
format independent technical report prepared by Behre Dolbear
International Limited has been completed for the Toukhmanuk and Getik
properties in Armenia. At Toukhmanuk, a 2.6 million ounce gold and
17.8 million ounce silver resource at average grades of 2.1 g/t and
14.1 g/t, respectively, using a 0.6 g/t cut-off is reported for the
already operating bulk open pit mine. Following a rigorous five month
review of drill core, assay and geological data by Behre Dolbear
and Gemcom and the creation of a new Surpac resource block model,
the comprehensive report was completed and delivered in connection
with the advancement of the Global Gold Consolidated Resources joint
venture announced in April 2011.

For the first time, the report also discloses that in 2011, Global
Gold has “uncovered significant unanticipated gold-silver vein zones
in a region where the known vein-sets splay and diverge.” The new
discoveries are vein and stockworks which parallel Global’s 2008
discoveries at Toukhmanuk. Those discoveries in 2008 significantly
changed the outlook at Toukhmanuk from a narrow vein potential
underground mining deposit to a vein and stockwork open pittable
deposit with vein zones ranging from 5 to 25 meters wide. The 2011
discoveries have revealed four new vein zones outside of the existing
drilling grid and also ranging from 5 to 25 meters wide in the central
section. These vein zones, which require further exploration, have
already produced ore averaging slightly more than 2 grams per tonne
that is being processed at the plant on site.

In addition this year, Global Gold has concluded 4,000 meters of
diamond drilling in both the central section and in other parts of the
license area. As of today, Global Gold has completed approximately
24,064 meters of diamond drilling at Toukhmanuk (beyond the Soviet
era levels of exploration) primarily covering the 2.2km2 central
section of the deposit and selected target areas along and outside
of the corridor in the broader 53.76 km2 deposit.

Further updates are anticipated in the next 6 months and on a
continuing basis, as results are received from the new discoveries,
the recently concluded 4,000 meter diamond drilling program, and
further analyses from prior exploration work.

Stripping and mining activity at the deposit has steadily increased
from summer to fall this year, with two stages of stripping
completed in accordance with the open pit mine plan and mining
of ore reaching 1,100 tons per day, adding to an existing ore
stockpile that now exceeds 30,000 tons for milling during the
winter. Mining is taking place pursuant to Global Gold’s mining
license and previously reported reserve determinations by the
Armenian Government. On October 27 and November 18, 2009, the
Company announced the approval of reserves for Toukhmanuk by the
Republic of Armenia’s State Natural Resources Agency, available at
**http%3A/

The report also includes information on the previously announced
initial plant expansion which is progressing well. Two new mills are
installed and in testing, along with further near-term improvements to
boost plant capacity and recoveries. Two concentrate shipments of 60
tons each are proceeding to offtaker Industrial Minerals in October
and further shipments will follow as milling ramps up throughout
the winter. The report notes that the plant “has been established
without recourse to cyanide reagents, which ensures that the plant
meets stringent waste and tailings quality benchmarks and is reputed
to be the leading Armenian company in pursuit of sustainable mining
and processing practices.”

The report also reviews exploration at the 27 km2 Getik property, where
exploration activity commenced in the 1920s, noting that Global Gold
has done geological mapping, ground geophysical surveys, trenching
and a small amount of diamond drilling. The report notes that there
is potential for an open pittable deposit, but further exploration
is necessary and underway, Yahoo Finance reported.

HEZBOLLAH DELEGATION VISITS MOSCOW

PanARMENIAN.Net
October 19, 2011 – 16:28 AMT

PanARMENIAN.Net – A delegation from the Lebanese Hezbollah movement
arrived in Moscow for a three day visit on Wednesday at the invitation
of the State Duma, RIA Novosti said citing a report on Lebanese
website Al Manar.

The delegation will be headed by the leader of the Loyalty to the
Resistance group, Mohamed Raad, and will include the leader of the
parliamentary information committee Hassan Fadlallah and the deputy
of the ruling council Nawar As-Sakhili.

The delegation is due to visit Russia’s lower house of parliament,
the Duma, as well as the council of Muslims in European Russia and the
Foreign Ministry, and will also give lectures at Moscow universities.

The delegation will discuss the situation in the Middle East including
the recent events in Libya, Palestine, Syria and Yemen.

Hezbollah is a paramilitary and political organization originating in
Lebanon’s Shiite population, fighting for an Islamic state in Lebanon.

The group is considered terrorist by many Western governments including
Israel, the US, UK and many European states, but not by Russia.

REPORT: UNDP RESEARCH SHOWS ARMENIAN POPULATION’ SOCIAL INCLUSION IS VERY LOW
By Sara Khojoyan

ArmeniaNow
19.10.11 | 16:16

About 55 percent of Armenia’s population is not actively included in
the social and public processes; the level of inclusion in provinces
is even lower, according to a UNDP report on social inclusion.

The report that looks into the social exclusion in Armenia shows how
much the population is deprived of participation in economic, social
and civil processes; for example, it states how much a resident of an
Armenian village participates in working out a development policy for
his or her community or in the choice of education methods at schools.

The report ‘On Regional Human Development Beyond Transition Towards
Inclusive Societies’ examines the level of the population’s inclusion
in society seven former socialist countries of Europe and Central
Asia. The index of social exclusion in Armenia as compared to
Macedonia, Kazakhstan, Moldova, Serbia, Tajikistan and Ukraine is not
only the highest but also the deepest – having a coefficient of 11.6.

“During our research we found out that there are two Armenias –
Yerevan and the rest of Armenia. As compared to other countries,
Yerevan is in the middle position by its index of social exclusion,
as for Armenia without Yerevan, it is in a low position,” said Balazs
Horvath, responsible for Poverty Reduction Bratislava Regional Center
of UNDP Europe and CIS countries.

The social exclusion index is the lowest in Yerevan – 14, the highest
in the Gegharkunik province – 46, 40 – in Aragatsotn, 38 – in Ararat
and Vayots Dzor, 37 – in Lori.

Speaking about economic exclusion, Horvath said that having money
and income is not enough for social inclusion, people must have the
desire to participate in economic and social processes.

“In Armenia jobs are much more important for social inclusion than
other economic indicators: having a job for people is much more than
having an income,” Horvath explained, adding that the survey is a
tool that they wanted to give to policymakers to think broader than
GDP when building polices for regions.

AT WHOSE EXPENSE WILL ARMENIA STATE REVENUE INCREASE IN 2012? ECONOMIST OFFERS OPINION

epress.am
10.19.2011

The 2012 (state) budget has no ambition whatsoever and the government
doesn’t even have a desire to show that it wants to do something,
said economist, former mayor of Yerevan and current member of the
opposition bloc Armenian National Congress (HAK) Vahagn Khachatryan,
speaking to journalists in the Armenian capital today.

“They simply compiled a budget to show for the usual round,” he said.

This year’s budget, Khachatryan continued, plans an increase of 101
billion drams ($268.5 million USD) in revenue.

“This would seem welcoming, but looking into it further, it’s a
dangerous initiative. The government didn’t begin its activities
from where it should have. In the first place, the government itself
should’ve assessed the potential of Armenia’s economy. Today it is
an approximately 10 billion dollar GDP or around 2.8 billion dollar
budget. But is it? Different international agencies say that the shadow
[economy] in Armenia is 50-70%,” he said.

According to the economist, one of the “absurd” aspects of Armenia’s
economy is that many importers are able to import goods 2 or 3 times
cheaper than the global market rate.

“No one would do such a favor to any businessman in Armenia. They
all buy goods from the market at the going rate, but simply import
them at a lower price – they show lower prices so that they pay less
taxes here,” he said.

On the government’s intention to increase revenue by 101 billion drams,
the opposition member said: “A political decision is necessary to
gather [these funds], and in making a political decision, [Armenian
President] Serzh Sargsyan has to gather all the oligarch businessmen
and say, ‘That’s it. From now on, we will begin to work only with
invoices.’

“That is, the black market is essentially reduced; that is, the rules
of the game change at once. But now the rules of the game haven’t
changed, and the rules not having changed, a figure is given – 101
billion – and here a serious problem arises: this has to happen on
whose account? If there’s no political decision, then this has to
happen at the expense of small- and medium-sized businesses; that is,
these people will once again be subject to pressure,” he said.

BIG POLISH COMPANY INTERESTED IN “NAIRIT” PLANT

arminfo
Tuesday, October 18, 18:19

The big Polish company is interested in “Nairit” chloroprene rubber
producing plant, secretary of Armenian National Security Council,
Artur Bagdasaryan, said at today’s press-conference in Yerevan.

“Armenia and Poland have already reached certain arrangements
regarding the next steps on deepening of cooperation in the sphere
of economy. But I would like to specially emphasize that a big Polish
company is interested in the “Nairit” plant. Together with our Polish
counterparts we have arranged to do everything possible so that to
fulfill this joint project”, – Bagdasaryan said.

For his part, Ambassador of Poland to Armenia Zdislaw Rachinsky said
that over a year the problem of participation of a number of Polish
companies in fulfillment of a large-scale investment programme at the
“Nairit” plant will be resolved.

Nairit was the only producer of chloroprene rubber in the
Soviet Union. In 1989 it was shut down, following protests by
environmentalists. In 1992-1993 the plant was partly restarted. In
2001 it started producing chloroprene rubber again. In 2006 90%
of its shares were sold to the British Rhinoville Property Limited.

The shareholders and the creditor of Nairit Plant, the CIS
InterStateBank, have launched a $500mln anti-crisis program, with
$100mln to be spent for repaying the debt to the InterStateBank.

Some $400mln will be borrowed from the EurAsEC Anti-Crisis Fund,
with the rest to be invested by the managing company.

The fixed assets of the plant and its major shareholder, Rhinoville
Property Limited, have been given as security against the
InterStateBank’s loan.

Nairit Plant has been inoperative since Apr 2010. Its full capacity
is 9,000-10,000 tons of acetylene rubber and 26,100 tons of butadiene
rubber a year. The development program stipulates restarting the
chloroprene rubber production and increasing it to 25,000-30,000 tons
a year – 6-7% of the world market.

Before the late 1980s Nairit produced 10-12% of the world’s chloroprene
rubber. In the last years it produced some 6,000-8,000 tons a year.

Rhinoville Property Limited owns 89.999% of Nairit Plant CJSC’s
shares, the Energy and Natural Resources Ministry of Armenia – 4.496%,
ArmRusgazprom – 3.596%, Yerevan TPP – 1.907%.

In 2010 Nairit Plant registered a 24.6bln AMD loss against 20.3bln
AMD loss in 2009. In late 2010 the authorized capital of the company
totaled 27,307,055,000 AMD, own capital and liabilities – 84.552bln
AMD against 93.633bln AMD in late 2009.

GREECE GENERAL STRIKE BEGINS OVER SPENDING CUTS

ARMENPRESS
OCTOBER 19, 2011
YEREVAN

A general strike is under way in Greece, grounding flights, halting
most public services and shutting offices and shops.

The 48-hour strike comes as parliament prepares to vote on the latest
round of austerity measures, including more tax hikes, pay cuts and
job losses.

Tens of thousands have gathered in Athens to protest, amid tight
security.

Greece is struggling to reduce a huge government deficit amid fears
it may default and set off a eurozone crisis.

The EU and IMF have demanded tough cuts in return for two bailouts.

The pace of protests in Greece has been increasing for several weeks,
with lightning strikes across virtually every sector of the economy.

Sending a messageThe strike for Wednesday and Thursday has been called
by the two big unions that cover public and private sector workers.

Government departments, businesses, offices and stores have all shut,
with small business owners and shopkeepers taking part in strike
action for the first time.

Air traffic controllers are staging a 12-hour walk-out, with some
150 domestic and international flights cancelled. Trains, buses,
taxis and lorries are not operating.

A strike over recent days by rubbish collectors has left uncollected
waste piling in the streets. Tourists were turned away from the
Acropolis.

“We are going to send a loud message to the government and the
political system,” said Costas Tsikrikas, the head of the public
workers’ union Adedy.

More than 70,000 people have begun marching in Syntagma Square in
central Athens, police said, with another 15,000 reportedly turning
out in the second city of Thessaloniki.

“Take the memorandum and get out,” read one sign in Athens, referring
to the EU and IMF bailout.

One striker, university lecturer Yannis Zabetakis, told the BBC:
“We are now living in a taxation Armageddon and the economy is dying.

Along with the economy, we are dying. The austerity measures are not
working and our best people are being forced to go abroad.”

Some 3,000 police officers have been deployed around the capital,
with extra riot police outside parliament, which saw major clashes
during a strike in June.

One police source told Agence France-Presse news agency a motorcycle
patrol was attacked in the capital’s Kaisiariani district, with one
officer hurt.

Hundreds of dock workers have gathered at the main port of Piraeus,
while hundreds of prison guards protested outside the justice ministry.

Legislators are voting on two bills on Wednesday and Thursday.

They include measures for higher taxes, further cuts to pensions and
salaries and the suspension of collective labour agreements.

They will also suspend 30,000 public servants on reduced pay and
introduce a new civil service salary system.

Prime Minister George Papandreou’s Pasok party has a four-seat
majority but some of his backbenchers have threatened to vote against
the measures.

Late on Tuesday, Mr Papandreou appealed to his MPs for support.

“We must persevere in this war as people, as a government, as a
parliamentary group in order for the country to win it,” he said.

Greece finds itself with rising unemployment and a stalled economy,
with a government debt that is 162% of its gross domestic product.

The long-term bond markets have shut Greece out over fears that it
can no longer meet its debt obligations.

The EU and the IMF have stepped in with two rescue packages but the
second has not been finalised.

Meanwhile, Greece says it needs the next $11bn (£7bn; 8bn euros)
instalment from the first package of bailout loans agreed last year
or it will run out of money to pay its bills in November.

As part of the second bailout agreed to in July, Greece’s creditors
agreed to a 21% loss – or “haircut” – on their loans to Athens,
but there are suggestions this may not be enough.

With fears the problems besetting Athens might spread to other highly
indebted eurozone countries such as Spain and Italy, EU leaders
meeting this weekend are scrambling to forge a plan that will protect
the region from a Greek default.

Measures could include propping up banks exposed to Greek debt and
enlarging the eurozone’s rescue fund.

ALIYEV: AZERBAIJAN WILL RESTORE TERRITORIAL INTEGRITY

Interfax
Oct 19 2011
Russia

Azerbaijan will restore its territorial integrity, President Ilham
Aliyev said at an official reception on the occasion of the 20th
anniversary of Azerbaijan’s independence on Monday.

“We have managed to demonstrate to the world that Nagorno Karabakh
is a truly historical land of Azerbaijan, in terms of both history
and international law, he said.

“Our intensive diplomacy is yielding results. I am convinced that
this problem will find its solution in a fair form and in compliance
with international law, and Azerbaijan will restore its territorial
integrity,” he also said.

Azerbaijan is being guided by several principles as it is further
developing, Aliyev said. “We all know that independent Azerbaijan
is only making the first steps. The independent Azerbaijan will live
forever from now on. We ourselves decide by what basic rules it will
be run. The foundations laid today – the principles of independence,
sovereignty, democracy, market economy and social justice – are the
foundation of the state system. A strong national ideology, and the
principles of national spirit and national dignity, are showing us
the right way,” Aliyev said.

The Azeri parliament adopted the Act on the State Independence of
Azerbaijan on October 18, 1991.

A. ISKANDARYAN: THE ONLY CHANGES MARKED IN AZERBAIJAN’S RHETORIC

Panorama
Oct 19 2011
Armenia

The director of Caucasus Institute Alexander Iskandaryan has stated
Wednesday that pivotal changes in the process of NK negotiations
shouldn’t be anticipated in the near future. According to the expert
Armenia is faithful to its adopted policy.

Referring to French President Nicolas Sarkozy’s visit to Armenia,
expert has noted that it’s believed Armenia is moving far from Russia.

“Cooperation with the West doesn’t necessarily mean that Armenia is
moving far from Russia,” said the expert.

A. Iskandaryan has anyhow found some changes – Azerbaijan’s rhetoric
has changed. “Today Azerbaijan’s rhetoric is that Armenia and
Nagorno-Karabakh can be dangerous for them, because both of them are
capable to initiate armed actions.”

ARMENIAN ECOLOGISTS TO PROTEST NEAR GOVERNMENT BUILDING

news.am
Oct 19 2011
Armenia

YEREVAN. – Armenian ecologists plan to organize a protest near
government building on Thursday demanding that the government stop
construction works near Trchkan waterfall.

“The Ministry of Nature Protection seems not to pay due attention to
the problem. In this context, “Save Trchkan Waterfall” initiative
raises the question of waterfall which is endangered and takes
concrete steps to prevent construction of hydro power plant. We
demand an immediate suspension of construction works in Trchkan,”
the statement reads.

AZERBAIJAN’S BILL ON KARABAKH NOT DISCUSSED DURING NATO PARLIAMENTARY ASSEMBLY

news.am
Oct 19 2011
Armenia

YEREVAN.- Azerbaijan-initiated draft resolution on Karabakh conflict
settlement was not discussed during the NATO Parliamentary Assembly
session in Bucharest, said members of the Armenian delegation Stepan
Safaryan and Karen Avagyan.

Armenia considers the OSCE Minsk Group is the main format for resolving
the conflict.

“Azerbaijan’s strategic goal is to achieve the adoption of various
resolutions in the European structures. They tried to do it in the
NATO PA, are still trying in Euronest, are working in PACE within
the framework of subcommittee on Nagorno-Karabakh,” Safaryan told
journalists on Wednesday.

During several sessions the Azerbaijani delegation tried to do
everything to bring Karabakh resolution to discussion. Nevertheless,
the text of the bill was reviewed in Bucharest which caused
dissatisfaction of the Azerbaijani side.

“The text of the resolution contained no dangerous wordings for Armenia
and Nagorno-Karabakh, no such terms as “aggressors”, “separatists”,
etc. Azerbaijani delegation sought to include such wordings but their
attempts failed,” he said.

Speaking about participation of the delegation in vote on resolution
on Abkhazia and South Ossetia, Karen Avagyan said Armenia did not
participate in voting as an associate member of the NATO Parliamentary
Assembly.

NATO Parliamentary Assembly session was held in Bucharest on October
7-10.