2015 Minerals Yearbook

CYPRUS [ADVANCE RELEASE]

U.S. Department of the Interior July 2019 U.S. Geological Survey The Mineral Industry of By Sinan Hastorun

Cyprus, an island country in the eastern Mediterranean Sea, stone increased by 567% compared with that of 2014; that of produced copper, umber and ocher, and industrial minerals used crushed limestone (havara), by 303%; umber and ocher for in construction. The production and export of other minerals cement production, by 175%; crude gypsum, by 36%; marble, or metals, such as asbestos fibers, chromite, gold, and silver, granules, and chippings, by 25%; calcined gypsum, by 17%; ceased in the early 1980s. The mineral resources of Cyprus1 and hydraulic cement, by 7%. The substantial increases were include asbestos, bentonite, copper, gypsum, lime, limestone from low base amounts produced during the recent economic (known locally as havara), marble, sand and gravel, and umber recession. Production of refined copper decreased by 28%; and ocher. In 2015, Cyprus accounted for about 0.8% of world clinker, clays for cement manufacture, and marl, by 10% each; bentonite production (table 1; Mines Service, 2016b, d, e; bentonite, by 9%; clay for brick and tile manufacture, hydrated Flanagan, 2017). lime, and iron oxide pigments (umber and ocher), by 8% each; In 2015, a new copper mine was being developed, which and sand and gravel, by 2% (table 1). would be the second metal mine in Cyprus. In 2015, mineral fuel reserves were reported for the first time after natural gas Structure of the Mineral Industry resources at the Aphrodite offshore field were determined to Table 2 is a list of the major mineral industry facilities, be commercially viable (EurActiv Energy News, 2015; Mines their locations, and their annual capacities. All facilities were Service, 2016a, g; U.S. Commercial Service, 2016b). privately owned. Minerals in the National Economy Commodity Review Cyprus’s real gross domestic product (GDP) increased by Metals 1.6% in 2015 compared with a 2.5% decrease in 2014. The nominal GDP was $18.8 billion2 in 2015. Most sectors of the Aluminum.—Muskita Aluminum Industries Ltd., which was economy, including the mineral industry, expanded in 2015 Cyprus’s sole aluminum producer, operated the 22,000-metric- after contracting since 2008. Mining and quarrying output ton-per-year (t/yr) Limassol plant, which was located close to increased by 2.3%; the manufacture of refined petroleum Limassol Port and employed 350 workers. Muskita produced products, chemicals, and chemical products, by 6.3%; and aluminum extrusions by using primary raw materials of the manufacture of nonmetallic mineral products, by 4.1%. The 6060, 6063, 6005 and 6082 alloys. Its anodizing plant had manufacture of base metals and fabricated metal products, as a production capacity of 10,000 t/yr (Muskita Aluminum measured by value, decreased by 0.3%. The share of mining and Industries Ltd., 2016). quarrying in the total gross value added for the national economy Copper and Gold.—The Mine operated by remained at 0.06%, whereas that of manufacturing increased to Hellenic Copper Mines Ltd. remained the country’s only active 4.8% in 2015 (Central Bank of Cyprus, 2016, p. 21; European copper mine in 2015. The Skouriotissa plant near the mine Commission, 2016, p. 90; Statistical Service, 2016a, b). produced 99.99%-purity copper cathodes. Hellenic Copper Cyprus’s exports of ores and industrial minerals, excluding Mines was developing a second mine—the Mine. The cement and clinker, were valued at $24.9 million in 2015 Apliki project comprised a three-deposit area located close compared with $35.6 million in 2014. The main mineral exports to the Skouriotissa Mine and plant. The company planned to were bentonite, building stone, cement, clinker, copper cathodes, increase its copper cathode production to at least 6,000 t/yr gypsum, lime, plasters, and umber and ocher. In 2015, exports (Worldfolio, The, 2015; Mines Service, 2016a, f, g). of copper cathodes decreased by 31% to 2,121 metric tons (t). Eastern Mediterranean Minerals (Cyprus) Ltd. (EMM) Exports of cement increased by 26% to 337,814 t, whereas those held exploration licenses in the Troodos Ophiolite complex. of clinker decreased by 11.3% to 981,117 t. Gypsum exports were Three licensed areas were found to contain deposits of more about 170,000 t; bentonite, 150,000 t; umber and ocher, 6,000 t; than 10 million metric tons (Mt) at grades of between 1.0% and building stone, 3,000 t (Mines Service, 2016b, d, g; and 4.5% copper. In August 2015, Semarang Enterprises Statistical Service, 2016c). Ltd. acquired a 90% interest in EMM from Atalaya Mining Production Plc. (formerly EMED Mining Public Ltd.). In May, Manning Operator Ltd. of identified copper and gold deposits In 2015, the amount of change in mineral industry output at two sites at in . The company varied among the mineral commodities. Production of building estimated the sites to contain about 1.5 Mt and 3 Mt of copper, respectively. Because these areas were largely under the control 1Unless specifically stated, all data in this chapter are for the southern part of of the Turkish armed forces, the company planned to negotiate Cyprus, because data related to northern Cyprus were sparse or unavailable. 2Where necessary, values have been converted from euro area euros (EUR) to with and the Government of Turkey for U.S. dollars (US$) at an average annual exchange rate of EUR0.937=US$1.00 permission to mine in the area (EMED Mining Public Ltd., 2015; for 2015 and EUR0.784=US$1.00 for 2014.

CYPRUS—2015 [ADVANCE RELEASE] 11.1 LGC News, 2015; Psillides, 2015; Atalaya Mining Plc., 2016, p. were extended until 2018. The consortium’s drilling yielded no 47; Eastern Mediterranean Minerals Ltd., 2016). commercially exploitable hydrocarbon resources in 2015. Total In 2015, Khrysanera Ltd. proposed building a 100-t/yr gold S.A. of received an extension for its exploration license refinery in Aradippou to produce gold bars. The company for Block 11, which it planned to drill in 2016. The company planned to import dore bars and semipure alloy of gold and returned its license for Block 10 after its seismic surveys silver and other metals, and to produce and export 24-carat showed no indications of hydrocarbon resources (Ellinas, 2015; gold (99.99% purity). The initial production capacity of the EurActiv Energy News, 2015; Offshore Technology, 2016; gold refinery would be 50 t/yr. In May, Khrysanera submitted U.S. Commercial Service, 2016a, b). the required application to the municipal council of Aradippou. In October, the municipal council postponed a vote on the Outlook construction permit. As of yearend 2015, it was not known when The is expected to continue to grow in construction would begin (Andreou, 2015; Hazou, 2015). 2016. Mining and quarrying output is expected to continue Iron and Steel.—In 2015, Cyprus exported 1,000 t of to increase owing to greater demand for industrial minerals. semifinished and finished steel products (unchanged from that Copper cathode production is expected to increase once the of 2014) and imported 144,000 t of such products (109,000 t in Apliki Mine begins operating. The exploration of gold deposits 2014). In 2015, Cyprus also imported 111,000 t of long products is at an early stage. Cyprus may become a producer of refined and 27,000 t of flat products. B.M.S. Metal Pipes Industries Ltd., gold if the proposed gold refinery receives the requisite permit. which was the country’s sole steel company, produced carbon The ongoing offshore hydrocarbon exploration has the potential steel products (Metal Bulletin, 2016; World Steel Association, to turn Cyprus into a natural gas producer and exporter if the 2016, p. 53, 56, 66, 71). Aphrodite field is developed as planned and additional reserves Industrial Minerals are identified in other blocks within the Cyprus EEZ.

Building stone, gypsum, limestone, marble, marl, sandstone, References Cited and umber and ocher were quarried across Cyprus. In 2015, Andreou, Evie, 2015, Cyprus could export gold bars: [] Cyprus Mail, 130 quarries were producing various materials, particularly for May 9. (Accessed September 18, 2016, at http://cyprus-mail.com/2015/05/09/ use by the construction industry. Of these quarries, 45 were cyprus-could-export-gold-bars-within-a-year/.) in the final stages of operation or in the reclamation phase Atalaya Mining Plc., 2016, Annual report for the year ended 31 December 2015: Nicosia, Cyprus, Atalaya Mining Plc., April, 58 p. (Accessed September 18, 2016, following the end of production. In 2015, 12 quarrying companies at http://atalayamining.com/wp-content/uploads/2016/04/ATYM-Annual- were engaged in the production of limestone aggregates; Report-2015.pdf.) 10, in bricks and tiles and diabase aggregates production; 8, in Central Bank of Cyprus, 2016, Annual report 2015: Nicosia, Cyprus, building stone production; 6, in bentonite and crushed limestone Central Bank of Cyprus, 87 p. (Accessed September 17, 2016, at http://www.centralbank.gov.cy/media//pdf_gr/CBC_AR_ (havara) production; 3, in fine aggregates and umber production; English_2016_592016.pdf.) and 1, in armor stone, crushed marble, gypsum, and ocher Eastern Mediterranean Minerals Ltd., 2016, Company history: Eastern production (Mines Service, 2016c, d, g, h). Mediterranean Minerals Ltd. (Accessed September 18, 2016, at Cement.—Domestic sales of cement increased by 2.4% to http://www.eastmedminerals.com/about/history.) Ellinas, Charles, 2015, Review of Cyprus and East Med energy developments 463,000 t, whereas domestic sales of clinker decreased by 8.3% in 2015: Natural Gas Europe, December 31. (Accessed September 17, 2016, to 659,600 t in 2015. In 2015, cement consumption increased at http://www.naturalgaseurope.com/review-of-cyprus-and-east-med-energy- for the first time since the contraction of the construction sector developments-in-2015-27404.) began in December 2008. Vassiliko Cement Works Public Co. EMED Mining Public Ltd., 2015, Projects—Cyprus: EMED Mining Public Ltd. (Accessed September 18, 2016, at http://www.emed-mining.com/ Ltd., Cyprus’s leading producer of cement and clinker, reported projects/cyprus.) increases of 7% in total revenue and 10% in exports in 2015 EurActiv Energy News, 2015, Consortium declares Cyprus gas find (International Cement Review, 2015, p. 113; Statistical Service, commercially viable: EurActiv Energy News, June 8. (Accessed 2016c; Vassiliko Cement Works Public Co. Ltd., 2016, p. 5). September 18, 2016, at http://www.euractiv.com/section/energy/news/ consortium-declares-cyprus-gas-find-commercially-viable/.) European Commission, 2016, Cyprus—Labour market conditions improve Mineral Fuels as real GDP growth picks up, in European economic forecast—Spring 2016: Brussels, , European Commission Institutional Paper no. 025, May, Natural Gas and Petroleum.—In 2015, hydrocarbon p. 90–91. (Accessed September 12, 2016, at http://ec.europa.eu/ reserves were estimated in one offshore block in the Cyprus economy_finance/publications/eeip/pdf/ip025_en.pdf.) Exclusive Economic Zone (EEZ) and resources were being Flanagan, D.M., 2017, Clays: U.S. Geological Survey Mineral Commodity assessed in other blocks. In June, Inc. of the Summaries 2017, p. 50–51. Hazou, Elias, 2015, Aradippou postpones vote on gold refinery: United States, which held an exploration and extraction license [Nicosia] Cyprus Mail, October 30. (Accessed September 18, 2016, at for Block 12, reported that the Aphrodite field within that block http://cyprus-mail.com/2015/10/30/aradippou-postpones-vote-on-gold-refinery//.) was commercially viable and contained an estimated 127 billion International Cement Review, 2015, Cyprus, in The global cement report cubic meters of natural gas. In November, British Gas Group (11th ed.): Dorking, United Kingdom, International Cement Review, p. 113. LGC News, 2015, Copper and gold found in Lefke: LGC News [Nicosia, Cyprus], (BG) of the United Kingdom acquired a 35% stake in the May 29. (Accessed September 18, 2016, at http://www.lgcnews.com/ gasfield, becoming the field’s operator. The consortium of Eni copper-and-gold-found-in-lefke/.) S.p.A. of and Korea Gas Corp. (KOGAS) of the Republic Metal Bulletin, 2016, BMS Metal Pipes Industries: Metal Bulletin company of Korea held exploration licenses for Blocks 2, 3, and 9, which database. (Accessed December 26, 2016, at http://www.mbdatabase.com/ Basic-Information/BMSMetalPipesIndustries/16295.)

11.2 [ADVANCE RELEASE] U.S. GEOLOGICAL SURVEY MINERALS YEARBOOK—2015 Mines Service [Republic of Cyprus], 2016a, Copper and gold mines of Cyprus: Psillides, Constantinos, 2015, Copper ore claim near Lefka: [Nicosia] Cyprus Nicosia, Cyprus, Mines Service, 1 p. (Accessed September 13, 2016, at Mail, May 28. (Accessed September 18, 2016, at http://www.moa.gov.cy/moa/mines/minessrv.nsf/All/2A0014673B1333EFC2 http://cyprus-mail.com/2015/05/28/copper-ore-claim-near-lefka/.) 2579C20027D2D4?Opendocument.) Statistical Service [Republic of Cyprus], 2016a, Index of industrial Mines Service [Republic of Cyprus], 2016b, Copper exports in m. tones: production—September 2016: Statistical Service, November 29. (Accessed Nicosia, Cyprus, Mines Service, 1 p. (Accessed September 13, 2016, at December 25, 2016, at http://www.mof.gov.cy/mof/cystat/statistics. http://www.moa.gov.cy/moa/mines/minesSrv.nsf/All/8586AC4EB8686A2EC nsf/industry_construction_61main_en/industry_construction_61main_ 22574EA0031B407?OpenDocument.) en?OpenForm&sub=1&sel=2.) Mines Service [Republic of Cyprus], 2016c, Data of the quarry materials producers: Statistical Service [Republic of Cyprus], 2016b, National accounts, 1995–2015: Nicosia, Cyprus, Mines Service, 4 p. (Accessed September 13, 2016, at Statistical Service, October 14. (Accessed December 25, 2016, at http://www.moa.gov.cy/moa/Mines/MinesSrv.nsf/All/20FE4A3DF72EFD86C http://www.mof.gov.cy/mof/cystat/statistics.nsf/economy_finance_11main_ 22574EA0036ABCA?OpenDocument.) en/economy_finance_11main_en?OpenForm&sub=1&sel=2.) Mines Service [Republic of Cyprus], 2016d, Mean annual production and Statistical Service [Republic of Cyprus], 2016c, Production, sales and exports of exports of quarry materials: Nicosia, Cyprus, Mines Service, 1 p. (Accessed cement and clinker, 2014–2016: Statistical Service, September 8. (Accessed September 13, 2016, via http://www.moa.gov.cy/moa/Mines/MinesSrv.nsf/ September 15, 2016, at http://www.mof.gov.cy/mof/cystat/statistics.nsf/ All/20FE4A3DF72EFD86C22574EA0036ABCA?OpenDocument.) industry_construction_61main_en/industry_construction_61main_en? Mines Service [Republic of Cyprus], 2016e, Mineral resources of Cyprus: OpenForm&sub=1&sel=2.) Nicosia, Cyprus, Mines Service. (Accessed September 13, 2016, at U.S. Commercial Service, 2016a, Cyprus—Energy: Nicosia, Cyprus, http://www.moa.gov.cy/moa/mines/minessrv.nsf/dmlresources_en/ U.S. Commercial Service of the U.S. Department of Commerce, July 19. dmlresources_en?OpenDocument.) (Accessed September 11, 2016, at https://www.export.gov/article?id=Cyprus- Mines Service [Republic of Cyprus], 2016f, Mines: Nicosia, Cyprus, Mines energy-sector.) Service. (Accessed September 13, 2016, at http://www.moa.gov.cy/moa/ U.S. Commercial Service, 2016b, Cyprus—Oil and gas exploration mines/minessrv.nsf/dmlmines_en/dmlmines_en?OpenDocument.) and exploitation: Nicosia, Cyprus, U.S. Commercial Service of the Mines Service [Republic of Cyprus], 2016g, Mines Service annual report U.S. Department of Commerce, July 19. (Accessed September 11, 2016, at 2015: Nicosia, Cyprus, Mines Service, 2 p. (Accessed September 11, 2016, https://www.export.gov/article?id=Cyprus-Oil-and-Gas-Exploration-and- at http://www.moa.gov.cy/moa/mines/minessrv.nsf/dmlannual_en/ Exploitation.) dmlannual_en?OpenDocument.) Vassiliko Cement Works Public Co. Ltd., 2016, 2015 Annual report and financial Mines Service [Republic of Cyprus], 2016h, Quarries: Nicosia, Cyprus, Mines statements: Nicosia, Cyprus, Vassiliko Cement Works Public Co. Ltd., May 19, Service. (Accessed September 13, 2016, at http://www.moa.gov.cy/moa/ 62 p. (Accessed September 18, 2016, at http://admin.vassiliko.com/ mines/minessrv.nsf/dmlquarries_en/dmlquarries_en?OpenDocument.) FS2015-ENG.pdf.) Muskita Aluminum Industries Ltd., 2016, Capabilities—Premises and World Steel Association, 2016, Steel statistical yearbook 2016: Brussels, technology: Muskita Aluminum Industries Ltd. (Accessed December 26, 2016, Belgium, World Steel Association, November, 123 p. at http://muskita.com.cy/capabilities/.) Worldfolio, The, 2015, Hellenic Copper Mines—World’s longest continuously Offshore Technology, 2016, Cyprus approves BG Group as partner producing copper mine with over 4,000 years of history: The Worldfolio, in offshore Aphrodite gas field: Offshore Technology, January 19. (Accessed December. (Accessed September 11, 2016, at http://www.theworldfolio.com/ September 18, 2016, at http://www.offshore-technology.com/news/ interviews/worlds-longest-continuously-producing-copper-mine-with-over- newscyprus-approves-bg-group-partner-offshore-aphrodite-gas-field-4787325.) 4000-years-of-history/3799/.)

TABLE 1 CYPRUS: PRODUCTION OF MINERAL COMMODITIES1

(Thousand metric tons unless otherwise specified)

Commodity2 2011 2012 2013 2014 2015 METALS Aluminum, semimanufacturese 19,000 19,000 19,000 20,000 20,000 Copper: Oree 1,100 1,200 1,000 900 600 Refined metric tons 3,660 4,328 3,631 3,088 2,221 Iron oxide pigments, umber and ocher do. 3,219 3,394 4,016 3,793 3,503 INDUSTRIAL MINERALS Cement: Hydraulic 1,207 1,026 855 735 788 Clinker 1,037 953 1,418 1,826 1,641 Umber and ocher for cement production metric tons 61,553 37,957 57,294 20,743 57,059 Clay: Bentonite metric tons 160,625 160,180 158,386 140,174 127,036 Other: For brick and tile manufacture 160 120 78 63 58 For cement manufacture 405 375 582 749 673 Total 565 495 660 812 731 See footnotes at end of table.

CYPRUS—2015 [ADVANCE RELEASE] 11.3 TABLE 1—Continued CYPRUS: PRODUCTION OF MINERAL COMMODITIES1

(Thousand metric tons unless otherwise specified)

Commodity2 2011 2012 2013 2014 2015 INDUSTRIAL MINERALS—Continued Gypsum: metric tons Crude do. 335,000 327,800 315,000 347,600 471,885 Calcined do. 4,877 4,523 3,679 2,561 2,997 Total do. 339,877 332,323 318,679 350,161 474,882 Lime, hydrated do. 9,824 4,551 3,730 3,462 3,182 Sand and stone: Limestone, crushed (havara and filling materials) 165 64 18 38 153 Marble, granules and chippings 1,900 3,920 900 2,060 2,580 Marl 1,640 1,500 2,363 3,068 2,757 Sand and gravel3 11,826 7,308 4,561 4,039 3,941 Stone, building4 84 89 8 9 60 eEstimated; estimated data are rounded to no more than three significant digits; may not add to totals shown. do. Ditto. 1Table includes data available through September 19, 2016. 2Mineral production data from areas of northern Cyprus that are administered by Turkish Cypriots, and the production of fertilizers, perlite, and steel are not included because available information was inadequate to make reliable estimates of output. 3Includes crushed aggregate. 4Includes crude, semifinished, and worked stone.

TABLE 2 CYPRUS: STRUCTURE OF THE MINERAL INDUSTRY IN 2015

(Metric tons)

Major operating companies Commodity and major equity owners Location of main facilities Annual capacity Aluminum, semimanufactures Muskita Aluminum Industries Ltd. Plant at Limassol 22,000 Cement Vassiliko Cement Works Public Co. Ltd. Plant at Vassiliko, 5 quarries in the area 2,400,000 (Church of Cyprus, 26%; Italcementi Group, 25%; Cyprus Cement Public Co. Ltd., 25%; other investors, 24%) Do. Cyprus Cement Public Co. Ltd. Plant at Moni 430,000 Clay, bentonite Peletico Penta Ltd. Mines at Pentakomo and Troulli, plant at Pentakomo NA Do. Drapia Mining Co. Mines at Drapia, Monagroulli, and Parsata NA Do. Oryktako Ltd. Mine at and processing plant at Malounda 10,000 Copper: Ore Hellenic Copper Mines Ltd. Skouriotissa Mine 1,300,000 e Refined do. Skouriotissa plant 8,000 Gypsum Peletico Ltd. Quarry and processing plant at NA Aradippou, near Larnaka Do. Zeiplast Chemical Industries Ltd. Near Moni NA Perlite Peletico Ltd. Facility at Larnaka NA Do. Zeiplast Chemical Industries Ltd. Facility at Moni NA Steel, semimanufactures B.M.S. Metal Pipes Industries Ltd. Mill at Paphos 15,000 eEstimated; estimated data are rounded to no more than three significant digits. Do., do. Ditto. NA Not available.

11.4 [ADVANCE RELEASE] U.S. GEOLOGICAL SURVEY MINERALS YEARBOOK—2015