Amulsar gold mine begins operations: about 210,000 ounces of gold to be mined a year
The Amulsar gold mine has begun operations. Lydian Armenia has invested approximately US$750 million in the project, which is expected to produce around 210,000 ounces of gold annually.
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According to the Prime Minister’s Office, Prime Minister Nikol Pashinyan attended the ceremonial extraction and smelting of Amulsar’s first gold in Vayots Dzor, marking the start of the mine’s operations. Before the ceremony, the prime minister toured the open-pit site.
According to the government’s statement, expert estimates put Lydian Armenia’s annual tax and royalty payments to the state budget at approximately US$130 million, with a positive impact of 1.5–2% on Armenia’s GDP. The company’s website lists both US$130 million and US$100–120 million. The government says the project is expected to provide more than 4,000 direct and indirect jobs, while the company’s website refers to more than 1,000 jobs. Of the US$750 million invested, US$150 million was raised on the basis of a state guarantee provided by the Armenian government.
The government holds a 12.5% stake in the project. Under the Community Development Agreement signed in August 2026 by the government, Lydian Armenia and the communities of Jermuk, Vayk and Sisian, US$7–9 million will be allocated annually to local socio-economic development programmes throughout the mine’s operating life. The company’s website lists annual social investments of US$7 million; in addition, US$1 million is paid to the communities each year in land rent.
According to Lydian Armenia’s website, Amulsar is the first mineral deposit discovered since Armenia gained independence. It was identified after approximately ten years of geological exploration. The deposit is located on the border of Vayots Dzor and Syunik provinces, at an elevation of 2,500–2,988 metres above sea level. Confirmed reserves comprise 89.4 million tonnes of ore and 73,733 kg of gold (0.78 g/t). The deposit will be developed through the Tigran-Artavazd and Erato open pits, with annual extraction of up to 10 million tonnes of ore.
For the first time in Armenia, gold will be recovered through heap leaching in a closed, recirculating system without a tailings storage facility. According to the company, the deposit’s hydrogeology is not connected to Jermuk’s mineral water deposit, from which it is separated by the Kechut-Zirak fault. Lydian Armenia was founded in 2005.
Nikol Pashinyan described the start of Amulsar’s operations as a success story and highlighted the importance of holding the ceremony without protests nearby: “I think it is also very important to answer this question, because you all know that the Amulsar project has taken different forms. We must also analyse the path we have travelled in order to adopt procedures for future investment programmes.”
“Let us finally acknowledge that the mineral resources which turned into gold before our eyes today belong to the Republic of Armenia and are the property of the people of the Republic of Armenia. […] The fate of this investment programme will be very significant for attracting new investment programmes of this kind,” the prime minister said.
Addressing environmental issues, Pashinyan said that all questions had been answered through dozens of consultations and discussions: “We are here today because we are convinced that all those risks simply have no place.”
According to the prime minister, Armenia’s economy grew by an average of 7.9% annually over the past five years, while GDP increased by 53% from 2018 to the end of 2025. “Our task going forward will be to make this programme a driving force, so that we can achieve such standards at other mining companies and in other programmes as well,” he said.
Photos: website of the Prime Minister of the Republic of Armenia
