Engineering & Mining Journal

APR 2019

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Page 21 of 83

REGIONAL NEWS - ASIA 20 E&MJ • APRIL 2019 RUSAL, RusHydro Launch First Production Line of BoAZ RUSAL, a leading global aluminum pro- ducer, and PJSC RusHydro, one of Rus- sia's largest generating companies, have commissioned the first potline at the Boguchansky aluminum smelter (BoAZ), part of the Boguchany Energy and Metals Complex (BEMO). The joint agreement, which includes the BEMO project consist- ing of the Boguchansky aluminum smelt- er and Boguchanskaya HPP, was signed by RUSAL and RusHydro 13 years ago at the Krasnoyarsk Economic Forum. Dmitry Kozak, deputy chairman of the Russian government, and Gov. of the Krasnoyarsk territory Alexander Uss, along with Evgenii Nikitin, current CEO of RUSAL, and Nikolay Shulginov, chairman of the management board and general director of PJSC, took part in a ceremony held during the Krasnoyarsk Economic Forum. The BEMO project was completed at a record pace, the companies said. In 2012, the first hydroelectric units went into operation and in 2015, the station reached the design capacity of 2,997 megawatts (MW), the design capacity of the first potline of BoAZ was 298,000 tons of aluminum per year. According to the two companies, BEMO is the largest energy and metals investment project in the world and is the first example of a large-scale public-pri- vate partnership in the country. About 10,000 jobs have been created at BEMO. "The launch of the first production line of the Boguchansky aluminum smelt- er is a great example of the successful im- plementation of a cooperative large scale Russian project," Nikitin said. "Along with the Khakass aluminum smelter built by RUSAL and the Taishet plant, which is now under construction, the introduc- tion of the new BoAZ capacities operating on the most modern technologies will not only ensure the production of competitive products, but will also make a great con - tribution to the socioeconomic develop- ment of both Siberia and the country." "The Boguchanskaya hydropower sta- tion has already developed more than 70 billion kWh of electricity, which exceeds the annual energy consumption of the entire Krasnoyarsk territory," added Shulginov. An investment of US$1.6 billion has been made for the first stage of the smelt- er with an annual capacity of 298,000 metric tons (mt). The project is being fi - nanced by both UC RUSAL and RusHy- dro's own funds and as part of a financing project by Vneshekonombank (VEB). Eldorado Gold Restarts Mining at Kişladağ As of April 1, mining, crushing and plac- ing of ore on the Kişladağ heap-leach pad has resumed, according to the own- er, Eldorado Gold. Further testwork is under way to determine the effects of a 250-day leach cycles on deeper material, the results of which are expected to be available in late 2019 or early 2020, the company said. "My thanks to Matt Badylak, Kişladağ general manager, and the team at site, as resumption of operations has started on schedule," Eldorado President and Chief Executive Officer George Burns said. "We are now prepared to deliver on our 2019 Kişladağ guidance of 145,000-165,000 ounces (oz) at a cash cost of $570 to $620 per ounce, increasing in 2020 to 240,000-260,000 oz." Eldorado Gold Eldorado is a gold and base metals producer with mining, de- velopment and exploration operations in Turkey, Canada, Greece, Romania, Serbia and Brazil. Alamos Gold Receives Operating Permit for Kirazlı Project Alamos Gold Inc. reported it has been granted an operating permit from the Turkish Department of Energy and Nat- ural Resources allowing for the start of earthworks on the open-pit area of the Kirazlı project. As disclosed in January, the company expects to spend $75 million in 2019 on completing work on the water reser- voir and ramping up major construction activities and earthworks. The remaining $60 million of Kirazlı's total initial capital budget of $152 million will be spent in 2020 with initial production expected by the end of 2020. As outlined in the 2017 feasibility study, Kirazlı has a 44% after-tax inter- nal rate of return and is expected to pro- duce over 100,000 ounces (oz) of gold during its first full year of production at mine-site all-in sustaining costs of less than $400 per oz. This is expected to bring consolidated production to over 600,000 oz per year, while significantly lowering the company's cost profile, the company said. BoAZ, part of the BEMO complex (above) is expected to produce nearly 300,000 tons per year of aluminum. (Photo: BoAZ)

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