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Lydian wins water right, but illegal blockades keep project in limbo

20th February 2020

By: Creamer Media Reporter

     

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Canada’s Lydian International, which delisted from the TSX earlier this month, has been granted a water permit for its Amulsar project, in Armenia, but illegal blockades continue to prevent construction from resuming.

Lydian has been issued a permit to draw 11 ℓ/s from the Arpa river. The company had sought permission to draw water from the Arpa river on two prior occasions, with higher level flow rates (in excess of 40 ℓ/s) to support long-term operations, both of which were denied by the government.

The lower flow rate that Lydian applied for now should be enough to support completing construction of the Amulsar project.

“We recognise that the government of Armenia has granted Lydian Armenia a water use permit that would allow the company to recommence construction. However, the company is still deprived of access to its property by illegal blockades and has been unable to raise financing to complete construction of the Amulsar project as a result,” said president and CEO Edward Sellers.

He urged the government to take action to address the continuing illegality around the Amulsar project. 

“The restoration of the rule of law will serve the interests of thousands of Armenian citizens, including community members, employees, contractors and suppliers, as well as thousands of investors who invested in Armenia in good faith and with the hope that their legal rights would be protected.”

Edited by Mariaan Webb
Creamer Media Senior Deputy Editor Online

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