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[Ferro-Alloys.com]In Q1 2016, Vallex Group, which develops the Teghout copper molybdenum deposit, ensured 57% growth in output, Armenian Prime Minister Hovik Abrahamyan said during his visit to the deposit on May 4.   

 

He pointed out the need to retain the growth rates till the end of the year. "This year, the company's output has already totaled 16 bln AMD. Due to the decline in the world prices of copper concentrate, Vallex has come across a number of financial problems. The Government is ready to discuss the issue and to support such a large company, which has big development perspectives, especially as the Armenian President has also given such an instruction. We give high priority to development of the mining sector and we are ready to support other mining enterprises as well," Abrahamyan said. 

 

Abrahamyan was told that more than 350 mln USD was invested to launch the first phase of the project.  From December 2014 till April 2016, the company extracted and processed 8.8 mln tons of minerals, produced 141 thsd tons of copper concentrate with 27.89% content of copper. At the moment, the Teghout deposit is employing 1,200 people mostly from the adjacent communities - Teghout, Shnogh and other districts of Lori Province. As of March 2016, the average salary of the company's employees was 352 thsd AMD. In 2015, the company paid 2.5 bln AMS in taxes. In Jan-Apr 2016, this index totaled 4.55 bln AMD. 

 

Teghout CJSC was founded on 22 May 2006 by Vallex Group. 100% of its shares belong to Teghut Investments Ltd. (Cyprus), whose 100% preferred shares are owned by the Armenian Copper Programme belonging to Valery Mejlumyan. By its reserves, Teghut deposit holds the second place in the republic after the Kajaran copper and molybdenum deposit in Syunik. In 1991 the approved reserves amounted to 450 mln tons of ore, including 1.6 mln tons of copper (with 0.355% content), and 99 thsd tons of molybdenum (with 0.022% content). The program to develop the mine was approved by the Armenian Government in Nov 2007.