A world-class gold deposit with a resource of 186 tons, dormant in the Tianshan Mountains of Kyrgyzstan, is about to be awakened. Through this acquisition and joint venture, Hillview Corporation will leverage its 20 years of mining operation experience to build a large-scale gold production base in two phases, with an expected annual gold production capacity of over 10 tons in the future, significantly enhancing the company's profitability and international competitiveness.

In the hinterland of the West Tianshan gold belt spanning Central Asia, a gold rich area that stretches for over 10 kilometers and has undergone more than 20 years of exploration but has not been extensively developed has finally welcomed its "awakener". On January 20, 2026, China's leading precious metal mining company, Hillway Metal Mining Co., Ltd., officially announced the acquisition of a 70% stake in the Chaarat ZAAV project in Kyrgyzstan for $162 million in cash, and reached a series of cooperation agreements with the National Investment Agency under the President of Kyrgyzstan and state-owned mining company Kyrgyzatyn to jointly develop this treasure trove.

According to the agreement, after the acquisition is completed, the ZAAV project will be restructured into a joint venture company, with Silverway holding 70% equity and responsible for operation, and Kyrgyzatyn holding 30% non dilution equity. This cooperation framework fully integrates the capital and technological operational strength of Chinese enterprises with the local resources and policy support of Kyrgyzstan, laying a solid foundation for the smooth progress of the project.

World class gold mining assets

The core asset of this transaction is the Tulkubash/Kyzyltash gold deposit located approximately 490 kilometers southwest of the capital of Kyrgyzstan, Bishkek. The transportation in this area is relatively convenient, with direct access via asphalt and gravel roads.

Since 2002, former owner Chaarat Gold Company in the UK has invested a total of $174 million to complete nearly 190000 meters of drilling, revealing its enormous resource potential. According to the latest estimation completed by Hillway according to international standards (NI43-101), the overall resource quantity of the project is astonishing: a total of 186 tons of gold and 644 tons of silver.

Clear resource composition:

Turkubash oxide mine: The gold resource is about 15 tons, with an average grade of 1.67 grams per ton.

Kiziltash sulfide mine: with a gold resource of up to 172 tons and an average grade of 2.44 grams per ton; The silver resources amount to 632 tons.

Peripheral Karator mining area: There is an estimated 6 tons of gold resources, and further encrypted drilling has been completed by 2025, with potential to be released.

From rapid gold production to long-term stability

The joint venture has developed a scientific and forward-looking two-phase development plan for this massive resource, aiming to maximize benefits.

Phase 1: Quick Start, Cash Flow Engine

The first phase of development will focus on the Turkubash oxide mine, which has relatively simple mining conditions and a short construction period. Hilway plans to invest $150 million to build an open-pit mine that can process 4 million tons of oxidized ore annually, using mature heap leaching technology to recover gold. After the project is put into operation, it is expected to have an average annual gold production of 3.4 tons and a service life of 3-4 years. If the peripheral Karator exploration area can be successfully converted to mining in 2026, it can extend the production life for at least another 2 years.

Phase 2: Deep development, long-term cornerstone

After completing detailed exploration and feasibility studies, it is expected to launch the second phase in 2028 to develop the resource subject - the Kiziltash sulfide ore belt. The total investment for this phase is approximately 400 million US dollars, with the construction scale of an open-pit/underground mining system capable of processing 3 to 4 million tons of ore annually, and supporting advanced flotation, biological oxidation, and leaching plants. After the second phase is fully put into operation, it is expected that the average annual gold production will jump to about 7 tons, with a service life of more than 18 years, becoming the company's long-term stable profit pillar.

Hillway's Road to Globalization and Diversification

This acquisition is far more than just adding one project for Hillway. Dr. Feng Rui, Chairman and CEO of Hillway, said, "We are honored to work with the government of Kyrgyzstan and Kyrgyzatyn to jointly develop the largest and undeveloped gold deposit in the West Tianshan gold belt. The highly coordinated interests of all parties have laid a solid foundation for the commencement and final production of the project, and will undoubtedly achieve win-win cooperation. ”

The project fully aligns with Hillway's established strategic goal of utilizing its extensive experience and financial strength in mining development and operation over the past twenty years to build and operate mines in at least three different countries. After the Turkubash gold mine is put into operation, it will become the fourth mine operated by Hillway, which is a key step towards achieving a leapfrog growth in production capacity and enjoying the strong fundamental dividends of gold. The total amount and reserves of the company's mineral resources will be significantly increased as a result, and the diversification and risk resistance of its asset portfolio will also be significantly enhanced, effectively promoting its move towards a diversified and high profit international precious metal enterprise.

With the availability of funds, technology, and cooperation, this golden treasure sleeping at the foot of the Tianshan Mountains is about to kick off its development. It not only adds a significant chapter to the growth story of Hillway, but also sets a new example for resource development cooperation between Chinese mining enterprises and Central Asia.Editor/Yang Meiling