LONDON (Alliance News) - Premier Gold Resources PLC Wednesday said the new governor and the head of local administration have prioritised dealing with local resistance in order to restart operations at the company's Cholokkaindy gold license in Kyrgyzstan.
The Central Asia-focused gold exploration and development company said in October 2013 that it had encountered resistance from factions of local groups and gangs seeking to hold up the work programme at Cholokkaindy illegally. it said these groups had sought to threaten and intimidate employees of the Company and its Kyrgyz contractors and so the company was unable to undertake fieldwork operations during the last field season.
The company said that since that time several members of Premier Gold's board have conducted meetings with government officials including the Deputy Prime Minister of Kyrgyzstan in order to resolve the situation.
Premier Gold said that in order to progress its plans at the site and to ensure the safety of its employees, it needs to ensure both the support of the governor of Chui Valley and the head of the local administration in Panfila.
The company said it has experienced delays as both of these positions changed in recent months, but said it has, with the help of the Deputy Prime Minister, engaged in consultations with the new leaders and is assured that the issues are being addressed as a priority in order to ensure that employees and contractors can work safely at Cholokkaindy at the outset of the forthcoming field season, estimated to start in May.
Premier Gold shares were up 3.6% to 0.140 pence Wednesday.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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