Kenadyr Mining Holdings Corp.(“Kenadyr” or the “Company”) (TSX-V: KEN) is pleased to announce it has commenced trading today on the TSX Venture Exchange with the symbol TSXV: KEN. Kenadyr has no debt, approximately $8.5 million in cash, a strong institutional shareholder base and a management team with extensive in-country operational experience and merger and acquisition expertise.
Kenadyr’s Bourbai project comprises a 100-per-cent owned exploration license covering a contiguous 164 square kilometre land package that encircles the Zigin/Kyrgyz/Altyn newly constructed and operational TaldyBulak Levoberejnv mine (“TBL Mine”) which was built at a cost of USD $296-million, in northern Kyrgyz Republic.
Kenadyr’s Bourbai project comprises a 100-per-cent owned exploration license covering a contiguous 164 square kilometre land package that encircles the Zigin/Kyrgyz/Altyn newly constructed and operational TaldyBulak Levoberejnv mine (“TBL Mine”) which was built at a cost of USD $296-million, in northern Kyrgyz Republic. Zijin, the majority owner of the TBL Mine, is one of China’s largest gold producers, second largest copper and zinc producer, as well as a major producer of tungsten and iron ore. In 2015, Zijin’s sales revenue and net profit attributable to the parent company reached USD $11.44 billion and USD $255 million respectively, ranking 1st and 2nd respectively among 14 major global public gold miners (source: Zijin website). According to a news release published by Zijin Mining Group Co. Ltd. on Aug. 15, 2011, the national resources table of Kyrgyz Republic stated that the Taldy-Bulak Levoberejny field contains (C1 plus C2) 8,906,100 tonnes of gold ore (the average grade is 7.23 grams per tonne) and the gold metal volume is 64,420.5 kilograms, among which, the C1 grade (initial mining reserve) is 4,949,754 tonnes of gold ore (the average grade is 7.02 grams per tonne) and the gold metal volume is 34,754.6 kilograms. The TBL Mine is designed to produce 125,000 ounces of gold per annum. The TBL Mine deposit directly connects to Kenadyr’s initial drill target, the south zone, which was previously drilled by the Soviets.
Kenadyr’s Borubai project, which surrounds the TBL Mine, has been the subject of extensive historic exploration including drilling (98,200 metres in 184 diamond drill holes), trenching (13,800 cumulative metres), bulldozer cuts (33,400 cumulative metres), geologic mapping at 1:25,000 and 1:50,000 scales, ridge, spur and grid soil geochemistry for multielements (14,200 samples), rock geochemical sampling (2,320 samples), pan concentrate sampling (790 samples), 100 metres of adits, and 184 metres of underground raises. Additionally, the entire area has been subject to airborne magnetic, radiometric and gravity surveys, as well as ground-based resistivity and induced polarization surveys).
Readers are cautioned that the resource and reserve estimates relating to the TBL Mine do not extend to the Company's Borubai project. Neither the Company nor Kenadyr has independently verified the information with respect to the TBL Mine provided in this news release and it is not necessarily indicative of the mineralization on the Borubai project. A Qualified Person has not done sufficient work to classify the historical estimates on the TBL Mine as current mineral resources or mineral reserves, and the Company is not aware of the resource and reserve categories, or the key assumptions, parameters and methods used to prepare the historical estimates on the TBL Mine. The Company is not treating the historical estimates on the TBL Mine as current mineral resources or mineral reserves as defined in National Instrument 43-101. The Company cautions readers that the historical estimates on the TBL Mine disclosed in this news release should not be relied upon.”
Additional information in respect of the Company's business and the Borubai project is available in the Company's filing statement dated Feb. 27, 2017, available under the Company's profile on SEDAR.
Dr. Alexander Becker, Kenadyr Chief Executive Officer, stated: “Borubai is situated in a highly prospective geological setting. Kenadyr will benefit from this setting in combination with excellent logistics and the extensive historical capital invested advancing the project. While we were attracted to Borubai due to the underlying geology, we are also aware the project is well situated strategically.”
In connection with the completion of the Company’s qualifying transaction, it is pleased to announce its board of directors as follows: R. Stuart (Tookie) Angus (Chairman), Alexander Becker (Chief Executive Officer), Bryan Slusarchuk (President), Douglas J. Kirwin and Brian Lueck. Mark Eaton will act as an adviser to the Company.
Kenadyr has 83,947,623 common shares issued along with common share purchase warrants exercisable at various prices for an aggregate of 4,633,044 common shares.
Brian Lueck, PGeo, a director of the Company and a qualified person as defined by National Instrument 43-101, has reviewed and approved the technical information in this news release.