It appears that production at SSR Mining’s (TSX: SSRM) Copler Mine in Turkey may have been temporarily halted. The firm reported this morning that local Turkish reports, as well as social media commentary from the Ministry of Environment, have suggested that production has been brought to a halt.
SSR Mining is reportedly seeking a formal response from the government agency, however they did not directly state whether or not production was actually halted at the mine, instead stating that it is simply “aware of local Turkish media reports.” The potential halt follows a cyanide leak found at the mine from a pipeline that delivers solution to the heap leach pad. Eight kilograms of cyanide reportedly leaked, with the leak being contained to the mine site itself.
Further clarification from the company on the status of the mine is pending a response from the Ministry.
The ministry however has made several comments on Facebook, indicating that they were dispatched to the gold mine on June 21, at which point they took multiple soil samples to determine that cleanup efforts were sufficient. The agency also reportedly fined the mine ₺16.4 million Turkish Lira, which equates to roughly $1.3 million Canadian.
A subsequent social media post made by the Ministry has indicated that they are halting activity at the mine until it has been determined by the Ministry that environmental improvement works have been completed.
Copler is the largest revenue generating mine for SSR Mining, with the mine producing $137.4 million in revenue for the first quarter of 2022, equating to 38.7% of topline revenue for the quarter. Comparatively, the mine accounted for 36.7% of operating income for the period.
SSR Mining last traded at $21.93 on the TSX, down 9.57% on the day.
Information for this briefing was found via Sedar, Turkey’s Ministry of Environment, Urbanism and Climate Change, and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
