28th Jan 2020 19:02
(Alliance News) - Georgian Mining Corp on Tuesday said it secured two tenures at the Bolnisi copper & gold project in Georgia but failed to secure three others.
Shares in the company more than doubled on Tuesday in London, closing at 2.09 pence each.
The company said its 50%-owned joint venture Georgian Copper & Gold JSC secured the tenure at Kvemo Bolnisi East and Dambludi, "two key deposits".
The firm said: "Kvemo Bolnisi East has been the focus of much of the company's investment to date, including a significant discovery in 2017, and it is the deposit which is envisaged to commence production first."
However, Georgia's National Agency of Mines said it seeks to return Kvemo Bolnisi West, Tsitel Sopeli and Balichi to the state.
The company said: "GCG strongly disagrees with this position, particularly as GCG has received previous ministerial endorsements, and written confirmation from NAM that GCG had met all of the licence requirements for all five named deposits in the licence area.
"GCG intends to appeal to the Minister of Economy & Sustainable Development to seek to secure its rights to the remainder of the licence area."
By Eric Cunha; [email protected]
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