UPDATE 1-Eldorado Gold restarts production at Kisladag mine
OTTAWA, March 6 (Reuters) - Eldorado Gold Corp (ELD.TO: Quote, Profile, Research) said on Thursday that production has resumed at its Kisladag mine in Turkey after the expiry of an injunction that shut the mine in August 2007.
Shares in Eldorado jumped more than 10 percent to C$7.32 on the Toronto Stock Exchange and $7.46 on Amex after a trading halt was lifted on Thursday. So far this year the stock has gained about 17 percent.
The mine reopening comes about four weeks after a Turkish high court said it could not come to a decision on an appeal of Kisladag's environmental permit because expert reports were inadequate.
The injunction that closed the mine expired with the court's decision and the matter was returned to a lower court.
Eldorado said on Thursday it was able to resume production because of the high court decision and actions taken by related government offices. Officials at the Vancouver, British Columbia-based company were not immediately available to detail those actions.
"The company is pleased that having preserved its staff levels during the period of the temporary shutdown we are now in a position to quickly resume full production," said Chief Executive Paul Wright in a statement.
The mine produced about 135,000 ounces of gold last year before production was stopped on Aug. 18.
It has an estimated 13-year mine life with full production estimated at 240,000 ounces annually at a cash cost of $232 per ounce of gold, according to the company's Web site.
($1=$0.98 Canadian) (Reporting by Susan Taylor; Editing by Peter Galloway)
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