Interfax
October 13

Two companies, Newmont Mining of the United States and Britain's Oxus Mining, have submitted bids for the rights to explore the Dzhamansay lode gold property in Uzbekistan, which has forecast resources of 50 tonnes of gold, a government source told Interfax.

Uzbekistan has closed bidding in the tender, which was called by the government's foreign economic relations and foreign investment department. The results of the tender will be announced by the end of October, the source said.

In 2002, Newmont signed a letter of intent with Uzbekistan's geology and mineral resources committee to invest $5 million over five years in geological exploration at two prospective properties in Karakalpakstan, including Dzhamansay. However, a final agreement was never sealed and this year Uzbekistan decided to call a tender for the property.

Newmont is already involved in one gold project in Uzbekistan. In 1992, Newmont Mining set up the Zaravshan-Newmont joint venture with the geology committee and Uzbekistan's Navoi Mining and Metals Combine (Kyzylkumredmetzoloto) which in 1995 launched a facility to recover gold from tailings at the giant Muruntau open pit in a project costing $255 million to date.

Oxus Mining has set up the Amantaitau Goldfields joint venture with Uzbekistan's geology committee and the Navoi Mining and Metals Combine to develop the Amantaitau gold lode in Central Kyzylkum. The venture is now building a $40 million gold recovery mill at the deposit.

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