State to sell Minvest mining company but keep shares in Rosia Montana gold project

The Romanian state will sell its shares in mining company Minvest but will keep its shares in Rosia Montana mining project, said Economy Minister Adriean Videanu. “We are selling Minvest, but without the Rosia Montana shares. These will stay with the Economy Ministry,” said Videanu in a press conference earlier today. Minvest Deva owns 19.31 percent of the shares in Rosia Montana Gold Corporation (RMGC), which was set up in 1997. Canadian Gabriel Resources owns 80.46 percent of the shares, while minority shareholders, 0.23 percent. RMGC has invested $400 million in the Romanian gold project so far and is still waiting for the green light for the project, which is being delayed due to environmental approval issue. If the project gets the go ahead, Romania will become the main gold producer in Europe. Gabriel Resources plans to extract 300 tonnes of gold and 1,400 tonnes of silver from Rosia Montana. Around 40 tonnes of cyanide would be required for the daily use in Rosia Montana in order to treat the extracted gold. Minvest Deva and the mines it owns are among the objectives which need to be either conserved or shut down and monitored. The Rosia Montana gold mining project has triggered reactions from the environmentalist groups, which opposed the project due to the use of cyanide. The Rosia Montana Project is located within the Golden Quadrilateral which is situated within the Apuseni and Metaliferi Mountains of Transylvania, Romania and covers an area of approximately 900 square kilometres immediately to the north of the city of Deva. The Rosia Montana deposit has been mined since Roman occupation.