Chaarat Gold Holdings Limited is executing on the strategy to build a leading publically listed gold company with the focus on the geographies of the former Soviet Union and full commitment to the highest global standards of Environmental, Social and Governance practices.
Chaarat’s existing asset base is now in two countries: Kyrgyz Republic in Central Asia and Armenia in the Caucasus region with JORC compliant resources of over 10m oz in total.
In Kyrgyz Republic the company is working on the phased development plan to build a word-class long life and low costoperating cluster with potential production of 400koz+ by 2026 as per the current timeline. The same license area contains two gold mineralization zones within the project area divided into two types, the Tulkubash mineralization, which is oxidized material and will be developed as phase 1, and the Kyzyltash mineralization (the main and contact zones) which is sulphide-rich, unoxidized refractory material and will be developed as phase 2.
Tulkubash, a project which is now in early construction stage, has shown outstanding resource and grade growth, with declared Resources of 42 million tonnes and a completed Bankable Feasibility Study. It is anticipated to pour first gold in 2021 with a long-run production target of 95k oz per year.
Kyzyltash deposit has an estimated 5.4 Moz in JORC compliant Measured, Indicated and Inferred resources with an average grade of 3.8g/t. The current resource has been developed along a strike length of 4 km and favourable geology extends for over 20 kilometres of strike length. Further potential for an ore body extension is anticipated down dip based on the current understanding of the deposit but requires further drill testing. The Company is working to update Kyzyltash Feasibility Study by the end of 2022 and commence construction in 2024 with anticipated first gold in 2026 and potential production of appx 300,000 oz per year.
In Armenia, Chaarat operates Kapan Mine and Processing Company, which was acquired in early 2019. Kapan is currently producing in excess of 50k ounces of gold equivalent per year and the Company is implementing operational improvement and brownfield expansion program that is expected to result in mill throughput increase from 700,000 tons per year to over a million ton with corresponding significant extension of the mine life.
Overall, Chaarat is working to build appx 500,000 oz of annual production from the existing asset base but is also actively pursuing a disciplined M&A strategy to expand its presence across the target geographies. The Company sees significant potential in consolidating the gold sector in the former Soviet Union countries and will consider acquisitions that meet the criteria and can provide value-accreditive growth.
Management Alignment with Shareholders
On an interpersonell level, Chaarat is duly committed to align management interest with shareholder interest and has created a management incentive plan structured to remunerate with a fair base pay, no cash bonuses and a long term incentive scheme as the main value creator for management.
Headquartered in London, Chaarat has more than 1,000 employees located in the UK, US, Russia, Kyrgyzstan and Armenia.
Chaarat consistently applies international Environmental and Social Standards to all its operations. Achieving and maintaining zero harm is a key part of Chaarat’s culture and therefore we operate a strict Health & Safety management system at all our production sites and promote a shared responsibility for health and safety with our workforce.
Chaarat aims to be Biodiversity Positive and invests in tangible biodiversity conservation projects; we also accrue funds for post closure activities to restore the territory of the exploited mines to natural conditions.
We recruit locally and we invest in the social infrastructure of our areas of operation with due respect for the socio-economic vocation of the territories.