Jeruy deposit

On May 4, 2015, by the decision of the Interdepartmental Tender Commission on holding a tender for the right to use subsoil in order to exploit the Jeruy gold deposit and perform geological studies of the Jeruy area, Vostok-Geoldobycha JSC was declared the winner.

Vostok-Geoldobycha OJSC suggested introducing the following innovations during the exploitation of Jeruy:

1. underground mining system with forced ore caving and open mined-out space;
2. pre-sorting of the initial ore using sensor technology;
3. the use of a roller press when crushing the sorting product;
4. the use of hydraulic transport for concentrate transportation;
5. gravity enrichment before sorption cyanidation;
6. cyanide dehydration with ozone;
7. storage of dehydrated tailings (dry storage).

The listed innovations are aimed at achieving the following benefits:

Economic benefits:

• Stock additions due to the reduction of onboard content. The conversion of off-balance ores to balance ones, as well as the inclusion of lower-grade ore into processing will increase reserves by 10-15 %.
• Increasing the profitability of deposit exploitation by raising the content of gold in the commercial ore supplied to the Mill.
• Reduction of capital costs for the construction of the gold mining plant (the Mill) by reducing its capacity.
• Reducing operating costs at the Mill by increasing the gold content of commercial ore.
• Reduction of transportation costs for ore feeding to the Mill due to preliminary ore sorting, i.e. removal of waste rock from the ore at the initial stage of extraction (after preliminary crushing).
• Reducing the period of field development or extending the period of exploitation by increasing reserves.

Technological advantages:

• Increasing gold recovery during processing at the Mill.
• Optimization of technological modes of operation at the Mill by feeding ore of consistently high quality.
• Increasing the gold content of the commercial ore before feeding it for milling and cyanidation.
• Full and rational use of mineral resources.

Environmental benefits:

• Reduction of ore processing at the Mill and further storage of tailings by means of preliminary ore sorting of the extracted crushed ore and the so-called tailings dry storage.

• Reducing the production capacity of the mining and metallurgical complex with a simultaneous increase in gold output, reducing the environmental burden.

• Minimizing the area of hydraulic structures, eliminating the risk of dam failure of the dry tailings storage facility compared to the liquid tailings storage facility.

• After the deposit is depleted, the area of the tailings dump is returned to the fund of agricultural land through its recultivation.

Media about the Jeruy contest:

Press Service of the State Geological Agency under the KR Government 04.05.2015

By decision of the Interdepartmental Tender Commission, Vostok-Geoldobycha OJSC will receive a license for the right to use subsurface resources for the exploitation of the Jeruy gold deposit and the geological study of the Jeruy area

Today, on May 4, the final meeting of the Interdepartmental tender commission on holding the re-tender for the right to use subsurface resources for the exploitation of the Jeruy gold deposit and the geological study of the Jeruy area.

According to the conditions of the competition, the documents were evaluated by the competition committee according to the relevant criteria of the point system. By the decision of the Interdepartmental Competition Commission, a scoring committee was formed of members of the Competition Commission as well as independent observers. According to the scoring committee, the participants of Kyrgyzaltyn OJSC received 305 points, Vostok-Geoldobycha OJSC received 405 points, i.e., according to the conditions of the tender, Vostok-Geoldobycha OJSC was declared the winner with the highest number of points.

Also, in accordance with the conditions of the tender, Vostok-Geoldobycha OJSC will receive a license for the right to use mineral resources in order to exploit the Jeruy gold deposit and perform geological exploration of the Jeruy area after full payment of the price proposed for the right to use mineral resources of the tender object.