European Goldfields' unit in Greece, Hellas Gold, currently operates a lead and zinc mine in the northern Greek region of Halkidiki. It has submitted an environmental impact study (EIS) to develop goldfields in the area, a project seen as a catalyst for its future growth.
The official public consultation period for the permit ended last year. A Greek environment ministry official said in October that a permit would be granted by early February.
"This is a polarising issue," Environment Minister Tina Birbili told reporters during a briefing on Thursday. "There must definitely be more consultation."
In a statement later on Thursday, European Goldfields said it "had not been officially notified by the Greek authorities that there is any issue regarding the permitting process or the timing of such".
A suspension of trading in the company's London-listed shares, which had been imposed on Thursday pending a response from the company, was lifted after the market closed.
Birbili also said that she wanted to make sure that the project would not pollute groundwater reserves. She did not indicate when there would be a final decision.
European Goldfields said it had not been asked to provide any additional information regarding groundwater or groundwater pollution.
The company noted that it had received confirmation from a Special Technical Committee in the ministry that the final EIS conformed with all technical requirements under Greek and EU environmental legislation.
Local activists fiercely oppose the project, saying it would harm the environment and living conditions in the area.
source: Reuters
