Business

Ziraat Bank and GUBRETAS’ huge collaboration for Sogut Gold Mine

Cooperation was made with Ziraat Bank to bring the resource in the Sogut Gold Mine to the economy. With an investment of $450 million, 800 people will be employed.

A cooperation and loan agreement was signed between GUBRETAS Mining Investments Inc., a subsidiary of Turkey Agricultural Credit Cooperatives (Agricultural Credit), and Ziraat Bank to bring the gold resource from the Sogut Gold Mine Project to Turkey’s economy.

LIMIT IS $135 MILLION

Agriculture Credit General Manager and GUBRETAS Mining Investments Inc.’s Chairman Fahrettin Poyraz said that they signed a protocol to further the cooperation with Ziraat Bank about the Sogut Gold Mine. Poyraz said, “Today, we have gathered about the financing of the Sogut Gold Mine Project of GUBRETAS Mining Inc., which was established as a subsidiary of GUBRETAS. There was a $135 million limit allocation to be used this year. In the next period, we will be cooperating to meet the financing needs under the leadership of Ziraat Bank for the operation and investments of the Sogut Gold Mine Field.”

EMPLOYMENT FOR 800 PEOPLE

Poyraz informed that they anticipate an investment of $450 million in the said gold mine and said, “When the investment is completed and full capacity production is started, we aim to employ approximately 800 people. We are planning to produce around 6-7 tons of gold annually, after completing the processes quickly and starting production in two separate ore fields as Akbastepe and Korudanlik. We are talking about 15% of the annual total gold produced in Turkey.” Ziraat Bank General Manager Alpaslan Cakar stated that the bank wants to take part in all projects that will contribute to production, investment, employment and exports. Expressing that the project will contribute positively to the current account balance and employment, Cakar said, “We made our plans to take part in the whole project.”

$1.33 BILLION GIANT SYNDICATION TO ZIRAAT

Ziraat Bank, the flagship of the Turkish banking system and playing a leading role in the growth of the economy despite the pandemic last year, with the financing support it provided to all segments of the society, has renewed confidence in the international markets. Ziraat Bank renewed its syndicated loan of $1.1 billion last year with a conversion rate of 125% this year and increased it to $1 billion 330 million. Ziraat Bank General Manager Alpaslan Cakar said, “The loan is an indicator of the trust in the Turkish banking system and Ziraat Bank in global markets.”

3.5 MILLION ONS GOLD REPORTED

The mine, which was discovered in the field belonging to GUBRETAS and transferred to a private company for operation in 2008, was canceled due to the company’s failure to fulfill its obligations. After the legal process was completed in December 2019, all rights of the field were registered in the name of GUBRETAS. In March of this year, the said license area was transferred to GUBRETAS Mining Investments Inc. A resource of 3.5 million ounces of gold has been reported at the mine site.

Source: Sabah / Translated by Irem Yildiz

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