From there, the company went on to commission SNC-Lavalin to conduct a crushing circuit trade-off study to look at "the capital cost implications of constructing a single gyratory crusher as opposed to twin jaw crushers installed in phases as modeled in the" September 2012 feasibility study. The firm found a number of advantages to a revised crushing circuit and announced its intention to refine the design.The situation soured in July 2013, when Lydian revealed that the completion of an updated feasibility study — which was to incorporate the above-mentioned information — would likely be delayed. In explanation, the company said that the Armenian government had passed a resolution to modify the area defined as the catchment basin to Lake Sevan, the country's largest freshwater resource. Unfortunately, the new area included Lydian's proposed heap leach facility location. The upside was that after speaking to the government, Lydian was invited to participate in a joint working group aimed at resolving the situation to the satisfaction of both parties. Though it's been a long road, especially given that the updated feasibility study was originally expected in Q3 2013, today's press release shows that Lydian has accomplished what it set out to do. Taking a positive stance, Stevenson said in today's release, "[m]oving the previously planned location for the heap leach facility has allowed us to optimize the entire site layout." Analysts weigh in In today's markets it's all too easy for a company to fail when it hits a stumbling block, so it's impressive that Lydian was able to overcome last year's obstacle intact. That said, analysts have pointed out that it's not necessarily all downhill from here for Lydian. Writing today for Haywood Securities, Tara Hassan reminded investors that though Amulsar "is uniquely positioned, being one of only a handful of larger scale, heap leach projects globally set to become a producer in the mid-term," it is risky in some senses. For instance, it has no operating history, will require external funding to advance and — given the Armenian government's move last summer — could run into permitting bumps. Additionally, "the project area hosts no active mining projects at present, and there is a lack of skilled and experienced labour in the vicinity."
That's certainly some food for thought for investors, who will also have to keep an eye on the company's myriad of upcoming milestones. Today's news release indicates that, among other things, Lydian's current objectives include: Advancing the mining rights approval process Laying out financing structure, completing lender due diligence and advancing to a bank mandate Value engineering and project opimization Developing a project execution plan for the pre-construction periodShares of Lydian are currently selling for $0.90 each. The company's 52-week high is $1.48, while its low for the same period is $0.55. For its part, Haywood has set a price target of $1.25. Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article. New Feasibility Study for Lydian's Amulsar Shows Project is a "Compelling Opportunity" from Gold Investing News