Erdemir, Türkiye’s leading integrated steel producer, has achieved a significant discovery in its mining expansion initiative. As a result of exploration activities conducted in the Alacahan Village area of Sivas under the responsibility of its subsidiary Ermaden, 424,000 ounces of gold have been identified. Advancing with strategic steps in the mining sector, Erdemir will continue new resource exploration and drilling operations to bring Türkiye’s underground wealth into the economy.

In its public disclosure through the Public Disclosure Platform (KAP), Erdemir announced that, within the scope of exploration activities carried out by its subsidiary Erdemir Madencilik Sanayi ve Ticaret A.Ş. (Ermaden) in the Alacahan Village area of Kangal district, Sivas province, approximately 424,000 ounces of gold content have been identified at the “Possible Resource” level, in compliance with the standards of the National Resources and Reserves Reporting Commission (UMREK) and the Australasian Joint Ore Reserves Committee (JORC). The discovery corresponds to approximately 14.9 million tons of ore with an average gold grade of 0.89 g/t. 

“We are investing in Türkiye’s future through our domestic production strength”

OYAK General Manager and Chairman of Erdemir’s Board of Directors, Murat Yalçıntaş, made the following statement regarding the development:

“We have transformed our strength in the steel industry into a strategic growth move in mining. Bringing our country’s underground resources into the economy with a sustainable approach constitutes the most important part of this strategy. As a result of meticulous and continuous drilling operations conducted by Ermaden in the Sivas-Alacahan field, a highly valuable potential resource of 424,000 ounces has been identified. We consider this discovery the first and significant outcome of our correct strategy and determined efforts. While continuing our exploration activities in the same region, we aim to transform this domestic resource into added value to strengthen the future of our industry and make a long-term contribution to the national economy.

As a result of the work we have carried out in 45 hectares of the existing 5,804-hectare licensed area, we have taken our first step toward our goal by identifying a possible resource of 424,000 ounces in compliance with JORC and UMREK standards. By the end of the second quarter of next year, we aim to complete our infill drilling activities in the area and convert our possible resource into a measured reserve. It is of great importance for us to reveal our economically operable value with our reserve report. Concurrently, exploration and resource definition drilling will continue in the unexplored zones outside the current 45-hectare area to expand the total resource potential of the site.”

Continuing drilling and Exploration Activities

The works carried out by Ermaden in the Alacahan field have so far been conducted over a 45-hectare section of the 5,804-hectare licensed area. A total of 360 core drillings were completed, covering 96,649 meters, and 96,533 fire assay analyses were performed. 

The analyses were carried out by Bureau Veritas Ankara Laboratory, which holds international accreditation. While Ermaden continues its infill drilling operations within the current modeling area, new exploration works have also been planned in the potential zones of the site that have not yet been drilled. Following the completion of infill drilling and ongoing resource expansion studies, it is planned to update the resource classification in light of the new data and to proceed with feasibility studies for reserve calculations.