On October 10, the Minister of Economy Gevorg Papoyan visited the Amulsar mining site to assess the ongoing project by Lydian Armenia, one of the country’s largest investment initiatives.
He was joined by Vayots Dzor Governor Vahagn Arsenyan, Deputy Minister Edgar Zakaryan, and government representative Gnel Sanosyan, a board member of Lydian Armenia.
Accompanied by the company’s director, Papoyan toured the residential complex built for 960 workers and inspected living conditions. The total investment is projected to reach $750 million, with $250 million allocated to complete construction and launch operations.
“The Amulsar project is one of Armenia’s largest investment ventures. It simultaneously boosts industrial development, creates jobs, and generates substantial tax revenues,” said the minister.
Papoyan observed major infrastructure and facility construction underway at the mine, involving over ten companies. Proven reserves are estimated at 73 tons of gold and 294 tons of silver. The final product will be dore – a gold and silver alloy. Based on current global gold prices, annual taxes and royalties from the project are expected to exceed $120 million.
During the implementation phase, the project aims to create over 1,000 jobs. The company has pledged to allocate $7 million annually to nearby consolidated communities of Vayk, Sisian, and Jermuk. As of October 1, the workforce involved in the project reached 890.
In September, around ten Armenian NGOs sent an open letter to the European Bank for Reconstruction and Development (EBRD), voicing deep concern over the financing of the Amulsar project. Ahead of the COP17 conference, the NGOs also addressed the Armenian President, government, and parliament, criticizing the country’s contradictory environmental policies.
On June 6, 2023, executives of Lydian Armenia and Allied Gold Corp informed Deputy Prime Minister Mher Grigoryan of their plans to jointly implement the Amulsar project. Discussions covered construction timelines, expected launch dates, financing progress, and public-private cooperation.
Amulsar is Armenia’s second-largest gold deposit. Located between Vayots Dzor and Syunik provinces in the northern and northwestern ridges of the Zangezur mountains, it sits at altitudes of 2,500-2,988 meters above sea level. The mine is operated by Lydian Armenia, a subsidiary of the international Lydian International. Operations had long been halted. The Lebanese company ELARD previously conducted environmental risk assessments for the site. (PanARMENIAN)