Underground operations at Rosia Montana ceased in 1985, but open pit mining continued until 2006, leaving an obvious effect on the mountain landscape.
Gabriel plans to re-establish mining in Rosia Montana and develop a new, modern and environmentally aware open pit operation that will produce approximately 500,000 ounces of gold per annum over a 16 year mine life. The Project would generate over $500 million in revenues per year, sustaining hundreds of direct jobs and thousands of indirect jobs and reinvigorating the regional economy.
The proposed mine and mill site are located within steep hilly/mountainous terrain at an elevation of approximately 850 metres above sea level. The proposed tailings management area is located in the immediately adjacent valley to the mine/mill complex at approximately 600 metres above sea level.
An illustrative diagram of the current landscape
Gabriel plans to use conventional processes and Best Available Techniques to extract the gold and silver from the ore in the four proposed pits at Rosia Montana.
Click here to see an illustration of the intended process at Rosia Montana.
Upon the issuance of an EP for the Project, it is the Company’s view that, in the absence of any other extraordinary or unforeseen events, legal or otherwise (including, but not limited to, further political instability or the impact of any new legislative framework for mining in Romania), it would take approximately one year to:
- Complete the majority of outstanding surface rights acquisitions;
- Receive the majority of other permits and approvals, including initial construction permits; and
- Produced to fully finance construction of a mine at Rosia Montana.
Once construction of the mine begins, it is expected to take approximately 30 months to complete. Ultimately, the Romanian Government determines the timing of issuance of the Environmental Permit and all other permits and approvals required for the Project. This is also subject to the Romanian courts dealing with any litigation from NGOs or other parties in a timely manner.
The Company's key objectives in the short term include:
- Continuing efforts, to the extent possible, to (i) clarify the remaining procedural events and
authorisation requirements necessary to move the Project and in particular the permitting
process forward and (ii) advance existing permitting applications including the EIA review
- Continuing to reduce the Company’s cost base and to carefully manage its cash resources; and
- Maximizing shareholder value, while optimizing benefits of the Project to all stakeholders.