Lydian International (LYD.TO) has intersected more gold at their 100% owned Amulsar project in Armenia. The company reports an intercept of 111 meters at 1.1g/t gold just outside the current pit outline. Further to the southeast, Lydian intersected 30 meters at 1g/t gold, indicating there’s definitely more gold on the property.
Lydian has commissioned an updated CIM-compliant resource estimate which is expected by the end of this quarter. As the current total resource base stands at 3.6Moz, we are confident Lydian will report in excess of 4 million ounces of gold in the updated report.
Amulsar currently has a NPV5% at $1500/oz gold of just over 1 billion USD, only based on the reserve ounces. If Lydian would be successful to convert more resources into reserves, the NPV could increase to a number between $1.5B and $2B.
Disclosure: The author holds a long position in Lydian International Ltd. Please see our disclaimer for current positions.
