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Eldorado Gold Corporation: 2014 Second Quarter Financial and Operating Results

Full Year Production Guidance Raised, Operating Costs Reduced

VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 07/31/14 -- Eldorado Gold Corporation ("Eldorado" or "the Company") (TSX:ELD)(NYSE:EGO) today reported the Company's financial and operational results for the second quarter ended June 30, 2014. Net profit attributable to shareholders of the Company for the quarter was $37.6 million or $0.05 per share.

"The Company has finished the second quarter ahead of our expectations and the operations are now on track to deliver production at the high end of the initial full year range our teams had established. Total gold production for the period was 200,551 ounces, and cash operating costs continue to remain in the bottom quartile of the gold industry at $489 per ounce," said Paul Wright, Chief Executive Officer of Eldorado Gold. "We are especially pleased to report that the Kisladag EIA was approved during the quarter by the Turkish authorities and we plan on completing the expansion to 20 million tonnes per year by mid-2016. Reflecting the strong results year-to-date and our outlook for the balance of 2014, we are confidently revising our guidance for the year to production of 790,000 ounces of gold with average cash costs for commercial production of $495 per ounce and all-in sustaining cash costs of $850 per ounce."

Second Quarter Financial and Operational Highlights


--  Net profit attributable to shareholders of the Company was $37.6 million
    ($0.05 per share). 
--  Gold revenues were $247.6 million on sales of 190,621 ounces of gold at
    an average realized gold price of $1,299 per ounce. 
--  Liquidity of $959.5 million, including $584.5 million in cash, cash
    equivalents and term deposits, and $375.0 million in lines of credit. 
--  A positive Environmental Impact Assessment ("EIA") decision from the
    Ministry of Environment and Urbanization of Turkey on the Kisladag Mine
    Expansion project was received during the quarter. 
--  Gold production of 200,551 ounces, including Olympias production from
    tailings retreatment (2013 - 183,971 ounces), a 9% increase year over
    year. 
--  Cash operating costs averaged $489 per ounce and all-in sustaining cash
    costs averaged $829 per ounce. 
--  Major concrete placements began at Skouries, and the semi-autogenous
    grinding (SAG) mill foundation was completed. 
--  On July 31, 2014, the Company declared that it will pay a dividend of
    CDN$0.01 per Common Share on August 26, 2014 to the holders of the
    Company's outstanding Common Shares as the close of business on the
    record date of August 15, 2014. 

Throughout this press release we use cash operating cost per ounce, total cash costs per ounce, all-in sustaining cost per ounce, gross profit from gold mining operations, adjusted net earnings and cash flow from operating activities before changes in non- cash working capital as additional measures of Company performance. These are non IFRS measures. Please see page 10 of the MD&A for an explanation and discussion of these non IFRS measures.

All figures in US dollars unless otherwise stated.

Financial Results


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Summarized financial results           3 months ended        6 months ended 
(Millions, except where noted)               June 30,              June 30, 
----------------------------------------------------------------------------
                                      2014       2013       2014       2013 
----------------------------------------------------------------------------
Revenues (millions)              $   265.5  $   266.9  $   545.4  $   605.0 
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Gold revenues (millions)         $   247.6  $   243.6  $   495.2  $   550.8 
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Gold sold (ounces)                 190,621    176,260    381,249    365,606 
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Average realized gold price                                                 
 (US$ per ounce)                 $   1,299  $   1,382  $   1,299  $   1,506 
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Cash operating costs (US$ per                                               
 ounce sold)                     $     489  $     478  $     504  $     492 
----------------------------------------------------------------------------
Total cash cost (US$ per ounce                                              
 sold)                           $     549  $     536  $     563  $     552 
----------------------------------------------------------------------------
All-in sustaining cash cost                                                 
 (US$ per ounce sold)            $     829        n/a  $     809        n/a 
----------------------------------------------------------------------------
Gross profit from gold mining                                               
 operations (millions)           $   100.8  $   117.2  $   196.2  $   281.0 
----------------------------------------------------------------------------
Adjusted net earnings                                                       
 (millions)                      $    35.9  $    48.2  $    73.2  $   131.5 
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Net profit (loss) attributable                                              
 to shareholders of the Company                                             
 (millions)                      $    37.6  $    43.3  $    68.9  $    (2.2)
----------------------------------------------------------------------------
Earnings (loss) per share                                                   
 attributable to shareholders                                               
 of the Company - Basic                                                     
 (US$/share)                     $    0.05  $    0.06  $    0.10  $    0.00 
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Earnings (loss) per share                                                   
 attributable to shareholders                                               
 of the Company - Diluted                                                   
 (US$/share)                     $    0.05  $    0.06  $    0.10  $    0.00 
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Dividends paid (Cdn$/share)      $    0.00  $    0.00  $    0.01  $    0.07 
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Cash flow from operating                                                    
 activities before changes in                                               
 non-cash working capital                                                   
 (millions)                      $    92.2  $    84.9  $   186.9  $   224.8 
----------------------------------------------------------------------------

Financial Results

Net income for the quarter was $37.6 million (or $0.05 per share), compared with $43.3 million (or $0.06 per share) in the second quarter of 2013. Gold revenues of $247.6 million were two percent higher year over year as higher gold sales volumes were partially offset by lower gold prices. Gross profit from gold mining operations was fourteen percent lower than that of the second quarter of 2013 reflecting higher production costs and depreciation expense as a result of higher sales volumes. Total cash cost per ounce increased two percent year over year.

Exploration expenses fell $6.4 million year over year, reflecting changes in the Company's exploration program in response to lower gold prices. The Company reported a foreign exchange gain of $1.6 million for the quarter as compared to a loss of $5.9 million for the second quarter of 2013 mainly as a result of changes in foreign exchange rates on the Company's Canadian dollar investments. Interest and financing costs fell $3.1 million year over year, reflecting an increase in capitalization of interest on the Company's Greek development projects.

The effective tax rate for the quarter was thirty-nine percent as compared to a rate of thirty-six percent in the second quarter of 2013. The effective tax rate for the second quarter of 2013 was lower due to a tax recovery related to recognition of investment tax credits in Turkey, partly offset by the impact of movements in the Turkish lira on deferred tax balances. The effective tax rate for the second quarter of 2014 was higher due to higher withholding tax accruals on dividends from our Turkish and Chinese subsidiaries.

Operations Update


----------------------------------------------------------------------------
Summarized Operating Results              3 months ended      6 months ended
                                                 June 30             June 30
----------------------------------------------------------------------------
                                          2014      2013      2014      2013
----------------------------------------------------------------------------
Gross profit - gold mining                                                  
 operations (millions)                $  100.8  $  117.2  $  196.2  $  281.0
----------------------------------------------------------------------------
Ounces produced - including Olympias                                        
 production from tailings                                                   
 retreatment                           200,551   183,971   397,074   347,739
----------------------------------------------------------------------------
Cash operating costs ($ per ounce                                           
 sold)                                $    489  $    478  $    504  $    492
----------------------------------------------------------------------------
Total cash cost ($ per ounce sold)    $    549  $    536  $    563  $    552
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Kisladag                                                                    
Gross profit - gold mining                                                  
 operations (millions)                $   52.5  $   77.6  $  100.2  $  162.6
----------------------------------------------------------------------------
Ounces produced                         76,980    76,735   144,055   146,956
----------------------------------------------------------------------------
Cash operating costs ($ per ounce                                           
 sold)                                $    443  $    327  $    449  $    331
----------------------------------------------------------------------------
Total cash cost ($ per ounce sold)    $    466  $    348  $    470  $    353
----------------------------------------------------------------------------
Efemcukuru                                                                  
Gross profit - gold mining                                                  
 operations (millions)                $   11.6  $   12.2  $   26.3  $   51.0
----------------------------------------------------------------------------
Ounces produced                         25,034    26,289    52,003    46,145
----------------------------------------------------------------------------
Cash operating costs ($ per ounce                                           
 sold)                                $    552  $    519  $    538  $    561
----------------------------------------------------------------------------
Total cash cost ($ per ounce sold)    $    576  $    537  $    561  $    592
----------------------------------------------------------------------------
Tanjianshan                                                                 
Gross profit - gold mining                                                  
 operations (millions)                $   13.5  $   15.2  $   27.0  $   34.2
----------------------------------------------------------------------------
Ounces produced                         25,790    27,938    54,169    54,145
----------------------------------------------------------------------------
Cash operating costs ($ per ounce                                           
 sold)                                $    391  $    398  $    407  $    419
----------------------------------------------------------------------------
Total cash cost ($ per ounce sold)    $    570  $    577  $    581  $    605
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Jinfeng                                                                     
Gross profit - gold mining                                                  
 operations (millions)                $   17.0  $    8.3  $   29.4  $   17.0
----------------------------------------------------------------------------
Ounces produced                         45,568    28,889    86,863    50,631
----------------------------------------------------------------------------
Cash operating costs ($ per ounce                                           
 sold)                                $    540  $    757  $    581  $    789
----------------------------------------------------------------------------
Total cash cost ($ per ounce sold)    $    622  $    845  $    664  $    881
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White Mountain                                                              
Gross profit - gold mining                                                  
 operations (millions)                $    6.2  $    3.9  $   13.3  $   16.2
----------------------------------------------------------------------------
Ounces produced                         21,000    17,462    47,473    38,377
----------------------------------------------------------------------------
Cash operating costs ($ per ounce                                           
 sold)                                $    583  $    742  $    596  $    683
----------------------------------------------------------------------------
Total cash cost ($ per ounce sold)    $    623  $    781  $    636  $    726
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Olympias                                                                    
Ounces produced from tailings                                               
 retreatment                             6,179     6,658    12,511    11,485
----------------------------------------------------------------------------

Kisladag


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Operating Data                3 months ended June 30  6 months ended June 30
----------------------------------------------------------------------------
                                    2014        2013        2014        2013
----------------------------------------------------------------------------
Tonnes placed on pad           3,127,844   3,301,333   6,984,726   6,216,841
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Average treated head grade -                                                
 grams per tonne                    1.11        1.26        0.90        1.28
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Gold (ounces)                                                               
----------------------------------------------------------------------------
  - Produced                      76,980      76,735     144,055     146,956
----------------------------------------------------------------------------
  - Sold                          72,815      76,680     139,667     146,930
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Cash operating costs (per                                                   
 ounce sold)                  $      443  $      327  $      449  $      331
----------------------------------------------------------------------------
Total cash costs (per ounce                                                 
 sold)                        $      466  $      348  $      470  $      353
----------------------------------------------------------------------------
Financial Data (millions)                                                   
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Gold revenues                 $     93.7  $    108.6  $    180.2  $    223.1
----------------------------------------------------------------------------
Depreciation and depletion    $      6.4  $      3.6  $     12.7  $      6.8
----------------------------------------------------------------------------
Gross profit - gold mining                                                  
 operations                   $     52.5  $     77.6  $    100.2  $    162.6
----------------------------------------------------------------------------
Capital expenditure on                                                      
 mining interests             $     17.2  $     35.3  $     25.1  $     70.7
----------------------------------------------------------------------------

Gold production at Kisladag during the quarter was level year over year, while sales of approximately 4,600 ounces of gold were delayed into the third quarter due to the timing of dore shipments to the refinery. Leaching of run of mine ore placed on the pad during the first quarter of 2014 contributed to gold production during the second quarter, making up for lower tonnes and grade year over year. Cash costs in the quarter were higher than the same period of 2013 due to lower head grade and an increase in operational waste mining (2014 - 4.9 million tonnes versus 2013 - 0.7 million tonnes). Capital expenditures during the quarter included equipment for expansion and capitalized waste stripping.

Efemcukuru


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Operating Data               3 months ended June 30  6 months ended June 30 
----------------------------------------------------------------------------
                                   2014        2013        2014        2013 
----------------------------------------------------------------------------
Tonnes Milled                   110,706     109,349     217,207     196,228 
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Average treated head grade -                                                
 grams per tonne                   7.99        9.28        8.27        8.91 
----------------------------------------------------------------------------
Average Recovery Rate (to                                                   
 Concentrate)                      93.2%       94.0%       93.1%       93.8%
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Gold (ounces)                                                               
----------------------------------------------------------------------------
  - Produced                     25,034      26,289      52,003      46,145 
----------------------------------------------------------------------------
  - Sold                         25,435      25,187      53,082      75,478 
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Cash operating costs (per                                                   
 ounce sold)                  $     552   $     519   $     538   $     561 
----------------------------------------------------------------------------
Total cash costs (per ounce                                                 
 sold)                        $     576   $     537   $     561   $     592 
----------------------------------------------------------------------------
Financial Data (millions)                                                   
----------------------------------------------------------------------------
Gold revenues                 $    33.1   $    31.6   $    69.7   $   112.7 
----------------------------------------------------------------------------
Depreciation and depletion    $     6.6   $     5.3   $    13.0   $    15.1 
----------------------------------------------------------------------------
Gross profit - gold mining                                                  
 operations                   $    11.6   $    12.2   $    26.3   $    51.0 
----------------------------------------------------------------------------
Capital expenditure on                                                      
 mining interests             $     5.8   $     6.8   $    11.3   $    16.6 
----------------------------------------------------------------------------

Gold production at Efemcukuru during the quarter was lower year over year and cash operating costs per ounce were higher mainly due to a lower planned average treated head grade. Capital spending in the quarter included costs related to capitalized underground development and mobile equipment, surface infrastructure, and process improvements.

Tanjianshan


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Operating Data               3 months ended June 30  6 months ended June 30 
----------------------------------------------------------------------------
                                   2014        2013        2014        2013 
----------------------------------------------------------------------------
Tonnes Milled                   278,226     273,065     541,836     520,126 
----------------------------------------------------------------------------
Average treated head grade -                                                
 grams per tonne                   3.30        3.50        3.37        3.61 
----------------------------------------------------------------------------
Average Recovery Rate              82.0%       83.6%       81.6%       82.3%
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Gold (ounces)                                                               
----------------------------------------------------------------------------
  - Produced                     25,790      27,938      54,169      54,145 
----------------------------------------------------------------------------
  - Sold                         25,790      27,938      54,169      54,145 
----------------------------------------------------------------------------
Cash operating costs (per                                                   
 ounce sold)                  $     391   $     398   $     407   $     419 
----------------------------------------------------------------------------
Total cash costs (per ounce                                                 
 sold)                        $     570   $     577   $     581   $     605 
----------------------------------------------------------------------------
Financial Data (millions)                                                   
----------------------------------------------------------------------------
Gold revenues                 $    33.7   $    38.4   $    70.7   $    81.0 
----------------------------------------------------------------------------
Depreciation and depletion    $     5.4   $     6.7   $    11.8   $    13.3 
----------------------------------------------------------------------------
Gross profit - gold mining                                                  
 operations                   $    13.5   $    15.2   $    27.0   $    34.2 
----------------------------------------------------------------------------
Capital expenditure on                                                      
 mining interests             $     3.7   $     3.2   $     4.8   $     5.0 
----------------------------------------------------------------------------

Gold production at Tanjianshan during the quarter was lower year over year as a result of lower average treated head grade and recovery rate. Capital spending included exploration activities and waste stripping.

Jinfeng


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Operating Data               3 months ended June 30  6 months ended June 30 
----------------------------------------------------------------------------
                                   2014        2013        2014        2013 
----------------------------------------------------------------------------
Tonnes Milled                   371,971     336,707     736,958     688,608 
----------------------------------------------------------------------------
Average treated head grade -                                                
 grams per tonne                   4.17        3.33        4.08        2.87 
----------------------------------------------------------------------------
Average Recovery Rate              86.4%       84.5%       87.0%       83.4%
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Gold (ounces)                                                               
----------------------------------------------------------------------------
  - Produced                     45,568      28,889      86,863      50,631 
----------------------------------------------------------------------------
  - Sold                         45,581      28,993      86,858      50,676 
----------------------------------------------------------------------------
Cash operating costs (per                                                   
 ounce sold)                  $     540   $     757   $     581   $     789 
----------------------------------------------------------------------------
Total cash costs (per ounce                                                 
 sold)                        $     622   $     845   $     664   $     881 
----------------------------------------------------------------------------
Financial Data (millions)                                                   
----------------------------------------------------------------------------
Gold revenues                 $    59.6   $    40.8   $   113.0   $    75.9 
----------------------------------------------------------------------------
Depreciation and depletion    $    14.2   $     8.1   $    26.0   $    14.2 
----------------------------------------------------------------------------
Gross profit - gold mining                                                  
 operations                   $    17.0   $     8.3   $    29.3   $    17.0 
----------------------------------------------------------------------------
Capital expenditure on                                                      
 mining interests             $     1.6   $    15.4   $     7.1   $    29.3 
----------------------------------------------------------------------------

Gold production at Jinfeng during the quarter was higher year over year and cash operating costs per ounce were lower mainly due to higher tonnes milled, average treated head grade and recovery rate, mainly due to ore production from the open pit. The open pit had resumed full mining operations midway through the second quarter of 2013 after completion of a cutback. Capital spending during the quarter included underground mine development and tailings dam construction.

White Mountain


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Operating Data               3 months ended June 30  6 months ended June 30 
----------------------------------------------------------------------------
                                   2014        2013        2014        2013 
----------------------------------------------------------------------------
Tonnes Milled                   213,741     203,033     414,423     401,967 
----------------------------------------------------------------------------
Average treated head grade -                                                
 grams per tonne                   3.56        3.25        3.84        3.52 
----------------------------------------------------------------------------
Average Recovery Rate              88.5%       87.0%       87.6%       86.3%
----------------------------------------------------------------------------
Gold (ounces)                                                               
----------------------------------------------------------------------------
  - Produced                     21,000      17,462      47,473      38,377 
----------------------------------------------------------------------------
  - Sold                         21,000      17,462      47,473      38,377 
----------------------------------------------------------------------------
Cash operating costs (per                                                   
 ounce sold)                  $     583   $     742   $     596   $     683 
----------------------------------------------------------------------------
Total cash costs (per ounce                                                 
 sold)                        $     623   $     781   $     636   $     726 
----------------------------------------------------------------------------
Financial Data (millions)                                                   
----------------------------------------------------------------------------
Gold revenues                 $    27.5   $    24.2   $    61.7   $    58.1 
----------------------------------------------------------------------------
Depreciation and depletion    $     8.1   $     6.6   $    18.1   $    13.9 
----------------------------------------------------------------------------
Gross profit - gold mining                                                  
 operations                   $     6.2   $     3.9   $    13.3   $    16.2 
----------------------------------------------------------------------------
Capital expenditure on                                                      
 mining interests             $     6.2   $     5.8   $     9.2   $    11.9 
----------------------------------------------------------------------------

Gold production at White Mountain for the quarter was higher year over year mainly as a result of increased process throughput, higher head grades, and improved recovery rates. Cash operating costs per ounce decreased significantly due to higher gold production and reduced operation costs. Capital spending this quarter included underground development, exploration, camp improvements, and completion of the new mobile maintenance work shop.

Vila Nova


----------------------------------------------------------------------------
Operating Data               3 months ended June 30  6 months ended June 30 
----------------------------------------------------------------------------
                                   2014        2013        2014        2013 
----------------------------------------------------------------------------
Tonnes Processed                190,721     179,864     394,202     392,775 
----------------------------------------------------------------------------
Iron Ore Produced               162,721     155,172     337,799     338,598 
----------------------------------------------------------------------------
Average Grade (% Fe)               62.8%       60.1%       62.8%       59.8%
----------------------------------------------------------------------------
Iron Ore Tonnes                                                             
----------------------------------------------------------------------------
  - Sold                         87,518      81,874     304,900     211,421 
----------------------------------------------------------------------------
Average Realized Iron Ore                                                   
 Price                        $      56   $     106   $      74   $     113 
----------------------------------------------------------------------------
Cash Costs (per tonne                                                       
 produced)                    $      69   $      74   $      62   $      69 
----------------------------------------------------------------------------
Financial Data (millions)                                                   
----------------------------------------------------------------------------
Revenues                      $     3.9   $     8.7   $    22.5   $    23.8 
----------------------------------------------------------------------------
Depreciation and depletion    $     0.9   $     0.9   $     3.1   $     2.1 
----------------------------------------------------------------------------
Gross profit / loss from                                                    
 mining operations            $    (3.0)  $     1.8   $     0.4   $     7.2 
----------------------------------------------------------------------------
Capital expenditure on                                                      
 mining interests             $       0   $     0.2   $     0.1   $     3.6 
----------------------------------------------------------------------------

Vila Nova recorded a loss of $3.0 million for the quarter compared with gross profit of $1.8 million in the second quarter of 2013. A $1.0 million negative price adjustment related to prior quarters' shipments impacted profitability. The average realized iron ore price for the quarter not including the price adjustment fell from $106 per tonne to $56 per tonne year over year. The Company is reviewing options to improve profitability at Vila Nova in light of the recent decline in iron ore prices.

Stratoni


----------------------------------------------------------------------------
Operating Data               3 months ended June 30  6 months ended June 30 
----------------------------------------------------------------------------
                                   2014        2013        2014        2013 
----------------------------------------------------------------------------
Tonnes ore mined (wet)           57,275      60,109     114,517     114,234 
----------------------------------------------------------------------------
Tonnes ore processed (dry)       55,548      62,331     110,997     110,852 
----------------------------------------------------------------------------
Pb grade (%)                       6.03%       6.57%       6.15%       6.41%
----------------------------------------------------------------------------
Zn grade (%)                      11.39%       9.38%      11.33%       9.37%
----------------------------------------------------------------------------
Ag grade (g/t)                      150         173         157         168 
----------------------------------------------------------------------------
Tonnes of concentrate                                                       
 produced                        15,714      16,054      31,650      28,332 
----------------------------------------------------------------------------
Tonnes of concentrate sold       12,989      16,783      29,706      30,751 
----------------------------------------------------------------------------
Average realized concentrate                                                
 price (per tonne)            $     981   $     783   $     845   $     849 
----------------------------------------------------------------------------
Cash Costs (per tonne of                                                    
 concentrate sold)            $     735   $     829   $     671   $     829 
----------------------------------------------------------------------------
Financial Data (millions)                                                   
----------------------------------------------------------------------------
Revenues                      $    12.7   $    13.1   $    25.1   $    26.1 
----------------------------------------------------------------------------
Depreciation and depletion    $     1.9   $     3.4   $     4.0   $     5.3 
----------------------------------------------------------------------------
Gross profit from mining                                                    
 operations                   $     0.3   $    (4.2)  $     0.2   $    (4.7)
----------------------------------------------------------------------------
Capital expenditure on                                                      
 mining interests             $     1.1   $     0.5   $     1.5   $     0.6 
----------------------------------------------------------------------------

Combined metal concentrate production at Stratoni for the quarter was level year over year, with lower lead concentrate production offset by higher zinc concentrate production as a result of changes in metal head grades. The average realized combined concentrate price increased year over year as zinc prices improved while lead prices weakened. Taken in conjunction with the increase in zinc concentrate production the change in metal prices contributed to Stratoni's gross profit performance year over year.

Development Project Update

Kisladag Mine Expansion

During the quarter the Company received a positive EIA decision from the Ministry of Environment and Urbanization of Turkey on the Kisladag Mine Expansion project. The EIA approval will allow for the expansion of the Kisladag open pit mine production from its current 12.5 million tonnes per annum to a maximum of 35.0 million tonnes per annum. The Company has decided to proceed with an expansion to an annual production rate of 20 million tonnes per year of crushed ore to the leach pad at an additional capital cost of approximately $90.0 million. We are forecasting completion in mid-2016, producing an average of 325,000 ounces per annum in the first five years after expansion.

Skouries

Major structural concrete placements for the SAG and ball mills commenced in the quarter. The SAG mill foundation was completed, and concrete placement in the SAG mill plinths began. The majority of the ball mill concrete piles were completed and reinforcing fabrication and formwork for other major plant foundations was ongoing. Mill mechanical equipment was being pre-assembled in a nearby warehouse and will be mobilized to site with onsite erection scheduled to begin in the third quarter. Construction of access roads to the tailings dam progressed during the quarter. A review of the tailings dam construction materials and methodology was completed and design modifications to enhance constructability were finalized. Site earthwork continued during the quarter, and included excavation and fill for the regrind mill, the flotation area and the tailings thickening area. The site batch plant construction commenced and is scheduled to be completed in the third quarter. The open pit surface area was cleared and topsoil removal commenced. Progress continued on the underground decline during the quarter. Capital spending totaled $29.7 million during the quarter.

Olympias

Approximately 168,000 tonnes of tailings were reprocessed during the quarter at a grade of 2.84 grams per tonne. A total of 6,179 payable ounces of gold in concentrate were produced. Cash proceeds from the sale of concentrate generated $11.8 million during the quarter on approximately 9,300 ounces of gold in concentrate. Capital spending totalled $35.6 million during the quarter including approximately $11.0 million related to tailings reprocessing, production royalties and transportation and selling costs, $1.9 million related to capitalized interest, and the remainder on mine development as well as Phase II engineering.

Perama Hill

Preliminary engineering continued on the project during the quarter with completion expected in the third quarter this year. Metallurgical test work to optimise the process is planned to be completed during the third quarter this year, with detailed engineering expected to begin shortly thereafter. The Company continues to work with Greek government authorities to facilitate approval of the Environmental Impact Assessment. Capital spending totaled $3.1 million during the quarter.

Certej

During the quarter studies were conducted focusing on optimization of critical elements of the project identified in the prefeasibility study, including pressure oxidation, oxygen supply, open pit development and use of Romanian resources to build the mine. Metallurgical test work continued during the quarter in order to provide further data for optimization of the pressure oxidation circuit. The Company plans to commence work on the feasibility study in the third quarter this year. Capital spending totaled $2.3 million during the quarter.

Tocantinzinho

During the quarter work continued on optimization of the Tocantinzinho feasibility study. Additionally, preparations were begun to upgrade the access road to the site, including obtaining the necessary permits and authorizations from the municipality. Capital spending totaled $0.5 million during the quarter.

Eastern Dragon

Eastern Dragon remained on care and maintenance pending resolution of permitting issues. Site management worked with the local authorities to maintain local permits and permissions in good standing. Work continued on the preparation of the revised Environmental Impact Assessment for submission to the Ministry of Environmental Protection. This will be followed by submission of the Project Permit Approval to the National Development and Reform Commission.

Exploration Update

Greece

In the Halkidiki District, underground exploration drilling continued at the Mavres Petres mine, targeting the western extension of the orebody. Several drillholes cut massive sulfide zones outside of the existing resource, and activities are now focused on extending underground development to allow further stepout drilling. Drilling commenced late in the quarter at the Piavitsa deposit with a 6,000 meter program planned to test the continuity of mineralized zones identified in previous widely-spaced drillholes. At the Olympias deposit, drilling completed in the east ramp development project encountered several significant zones of high grade gold and silver mineralization that lie outside of the current resource model.

In the Perama district exploration activities focused on extending geological mapping coverage in the Perama South area, conducting reconnaissance field visits to nearby prospects, and evaluating historical data for the newly acquired Sappes project.

Romania

Exploration activities during the quarter near Certej focused on defining drill targets at the Magura, Bocsa, and P. Avram prospect areas. Reconnaissance mapping, soil sampling, and drillhole targeting commenced during the quarter at the nearby Muncel and Brad exploration licenses.

Turkey

Exploration activities in Turkey focussed on reconnaissance of regional target areas in western Turkey, and definition of new drilling targets at the Efemcukuru minesite.

China

Underground drilling at White Mountain targeted down-plunge extensions in the middle and north ore zones. Detailed geological mapping was conducted over the mine area, and surface exploration drilling programs will commence in the third quarter. At Tanjianshan, drilling programs were completed at the Xijingou deposit and Dushugou prospect, and drilling is ongoing at the Qinlongtan North deposit.

Brazil

Exploration resumed at the Tapajos region projects, including soil sampling along the Tocantinzinho trend northwest of the Tocantinzinho deposit, and drill-testing of geochemical anomalies at the adjacent Ruben Zilio project.

2014 Outlook

Total gold production for 2014 is forecast to be 790,000 ounces of gold with average cash costs for commercial production of $495 per ounce and average all-in sustaining cash costs of $850 per ounce. Previous guidance was production of 730,000 - 800,000 ounces at average cash costs of $550 to $590 per ounce and average all-in sustaining cash costs of $915 to $985 per ounce. Capital spending is forecast to be $170.0 million in sustaining capital and $265.0 million in project development capital compared with previous guidance of $170.0 million and $345.0 million respectively. The forecast for project development capital is lower than original guidance mainly due to presently projected lower capital spending at Skouries.

The Company is evaluating the merits of pursuing a potential overseas listing on the Hong Kong Stock Exchange in relation to its Chinese business. Eldorado is the largest foreign producer of gold in China with three operating gold mines (Jinfeng, Tanjianshan and White Mountain) and the Eastern Dragon project. The Company's Chinese operations presently produce roughly 300,000 ounces of gold annually.

Conference Call

Eldorado will host a conference call on Friday, August 1, 2014 to discuss the Second Quarter 2014 Financial and Operating Results at 8:30am PDT (11:30am EDT). You may participate in the conference call by dialling 416-340-2219 in Toronto or 1-866-225-0198 toll free in North America and asking for the Eldorado Conference Call.

The call will be available on Eldorado's website: www.eldoradogold.com. A replay of the call will be available until August 8, 2014 by dialling 905-694-9451 in Toronto or 1-800-408-3053 toll free in North America and entering the Passcode: 5888733.

About Eldorado Gold

Eldorado is a leading low cost gold producer with mining, development and exploration operations in Turkey, China, Greece, Romania and Brazil. The Company's success to date is based on a low cost strategy, a highly skilled and dedicated workforce, safe and responsible operations, and long-term partnerships with the communities where they operate. Eldorado's common shares trade on the Toronto Stock Exchange (TSX:ELD) and the New York Stock Exchange (NYSE:EGO).

Certain of the statements made herein may contain forward-looking statements or information within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. Often, but not always, forward-looking statements and forward-looking information can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements or information herein include, but are not limited, to statements or information with respect to the Company's 2014 Second Quarter Financial and Operating Results.

Forward-looking statements and forward-looking information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. We have made certain assumptions about the forward-looking statements and information, including assumptions about the legal restrictions regarding the payment of dividends by the Company; assumptions about the price of gold; anticipated costs and expenditures; estimated production, mineral reserves and metallurgical recoveries; financial position, reserves and resources and gold production; and the ability to achieve our goals. Although our management believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that the forward-looking statements or information will prove to be accurate. Furthermore, should one or more of the risks, uncertainties or other factors materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements or information. These risks, uncertainties and other factors include, among others, the following: gold price volatility; risks of not meeting production and cost targets; discrepancies between actual and estimated production, mineral reserves and resources and metallurgical recoveries; mining operational and development risk; litigation risks; regulatory restrictions, including environmental regulatory restrictions and liability; risks of sovereign investment and operating in foreign countries; currency fluctuations; speculative nature of gold exploration; global economic climate; dilution; share price volatility; competition; loss of key employees; additional funding requirements; and defective title to mineral claims or property, as well as those factors discussed in the sections entitled "Forward-Looking Statements" and "Risk Factors" in the Company's Annual Information Form & Form 40-F dated March 28, 2014.

There can be no assurance that forward-looking statements or information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, you should not place undue reliance on the forward-looking statements or information contained herein. Except as required by law, we do not expect to update forward-looking statements and information continually as conditions change and you are referred to the full discussion of the Company's business contained in the Company's reports filed with the securities regulatory authorities in Canada and the U.S.

Cautionary Note Regarding Mineral Reserves and Mineral Resources

The terms "Mineral Reserve", "Proven Mineral Reserve" and "Probable Mineral Reserve" used in this release are Canadian mining terms as defined in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects under the guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM") Standards on Mineral Resources and Mineral Reserves, adopted by the CIM Council on August 20, 2000 as may be amended from time to time by the CIM. These definitions differ from the definitions in the United States Securities & Exchange Commission ("SEC") Guide 7. In the United States, a mineral reserve is defined as a part of a mineral deposit which could be economically and legally extracted or produced at the time the mineral reserve determination is made.

The terms "Mineral Resource", "Measured Mineral Resource", "Indicated Mineral Resource", "Inferred Mineral Resource" used in this release are Canadian mining terms as defined in accordance with National Instruction 43-101 - Standards of Disclosure for Mineral Projects under the guidelines set out in the CIM Standards. Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

For a detailed discussion of resource and reserve estimates and related matters see the Company's reports, including the Annual Information Form and Form 40-F dated March 28, 2014 and technical reports filed under the Company's name at www.sedar.com and www.sec.gov respectively.

Cautionary Note to US Investors Concerning Estimates of Measured, Indicated and Inferred Resources

Note to U.S. Investors. While the terms "mineral resource", "measured mineral resource," "indicated mineral resource", and "inferred mineral resource" are recognized and required by Canadian regulations, they are not defined terms under standards in the United States and normally are not permitted to be used in reports and registration statements filed with the SEC. As such, information contained in this report concerning descriptions of mineralization and resources under Canadian standards may not be comparable to similar information made public by U.S companies in SEC filings. With respect to "indicated mineral resource" and "inferred mineral resource" there is a great amount of uncertainty as to their existence and a great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an "indicated mineral resource" or "inferred mineral resource" will ever be upgraded to a higher category. Investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into reserves.

There can be no assurance that forward-looking statements or information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, you should not place undue reliance on the forward-looking statements or information contained herein. Except as required by law, we do not expect to update forward-looking statements and information continually as conditions change and you are referred to the full discussion of the Company's business contained in the Company's reports filed with the securities regulatory authorities in Canada and the U.S.


                                ELDORADO GOLD                               
                 Q2 2014 Gold Production Highlights (in US$)                
----------------------------------------------------------------------------
                         First     Second     Second       First       First
                       Quarter    Quarter    Quarter  Six Months  Six Months
                          2014       2014       2013        2014        2013
----------------------------------------------------------------------------
                                                                            
Gold Production                                                             
  Ounces Sold          190,628    190,621    176,260     381,249     365,606
  Ounces                                                                    
   Produced(1)         196,523    200,551    183,971     397,074     347,739
  Cash Operating                                                            
   Cost ($/oz)(2),                                                          
   (4)                     519        489        478         504         492
  Total Cash Cost                                                           
   ($/oz)(3), (4)          577        549        536         563         552
  Realized Price                                                            
   ($/oz - sold)         1,299      1,299      1,382       1,299       1,506
----------------------------------------------------------------------------
                                                                            
Kisladag Mine,                                                              
 Turkey                                                                     
  Ounces Sold           66,852     72,815     76,680     139,667     146,930
  Ounces Produced       67,075     76,980     76,735     144,055     146,956
  Tonnes to Pad      3,856,882  3,127,844  3,301,333   6,984,726   6,216,841
  Grade (grams /                                                            
   tonne)                 0.73       1.11       1.26        0.90        1.28
  Cash Operating                                                            
   Cost ($/oz)(4)          456        443        327         449         331
  Total Cash Cost                                                           
   ($/oz)(3), (4)          473        466        348         470         353
----------------------------------------------------------------------------
                                                                            
Efemcukuru Mine,                                                            
 Turkey                                                                     
  Ounces Sold           27,647     25,435     25,187      53,082      75,478
  Ounces Produced       26,969     25,034     26,289      52,003      46,145
  Tonnes Milled        106,501    110,706    109,349     217,207     196,228
  Grade (grams /                                                            
   tonne)                 8.56       7.99       9.28        8.27        8.91
  Cash Operating                                                            
   Cost ($/oz)(4)          526        552        519         538         561
  Total Cash Cost                                                           
   ($/oz)(3), (4)          547        576        537         561         592
----------------------------------------------------------------------------
                                                                            
Tanjianshan Mine,                                                           
 China                                                                      
  Ounces Sold           28,379     25,790     27,938      54,169      54,145
  Ounces Produced       28,379     25,790     27,938      54,169      54,145
  Tonnes Milled        263,609    278,227    273,065     541,836     520,126
  Grade (grams /                                                            
   tonne)                 3.44       3.30       3.50        3.37        3.61
  Cash Operating                                                            
   Cost ($/oz)(4)          422        391        398         407         419
  Total Cash Cost                                                           
   ($/oz)(3), (4)          592        570        577         581         605
----------------------------------------------------------------------------
                                                                            
Jinfeng Mine, China                                                         
  Ounces Sold           41,277     45,581     28,993      86,858      50,676
  Ounces Produced       41,295     45,568     28,889      86,863      50,631
  Tonnes Milled        364,987    371,971    336,707     736,958     688,608
  Grade (grams /                                                            
   tonne)                 4.00       4.17       3.33        4.08        2.87
  Cash Operating                                                            
   Cost ($/oz)(4)          626        540        757         581         789
  Total Cash Cost                                                           
   ($/oz)(3), (4)          709        622        845         664         881
----------------------------------------------------------------------------
                                                                            
White Mountain                                                              
 Mine, China                                                                
  Ounces Sold           26,473     21,000     17,462      47,473      38,377
  Ounces Produced       26,473     21,000     17,462      47,473      38,377
  Tonnes Milled        200,682    213,741    203,033     414,423     401,967
  Grade (grams /                                                            
   tonne)                 4.13       3.56       3.25        3.84        3.52
  Cash Operating                                                            
   Cost ($/oz)(4)          607        583        742         596         683
  Total Cash Cost                                                           
   ($/oz)(3), (4)          646        623        781         636         726
----------------------------------------------------------------------------
                                                                            
Olympias, Greece                                                            
  Ounces Sold                -          -          -           -           -
  Ounces                                                                    
   Produced(1)           6,332      6,179      6,658      12,511      11,485
  Tonnes Milled        144,522    168,013    116,972     312,535     206,084
  Grade (grams /                                                            
   tonne)                 3.08       2.84       3.80        2.95        3.86
  Cash Operating                                                            
   Cost ($/oz)(4)            -          -          -           -           -
  Total Cash Cost                                                           
   ($/oz)(3), (4)            -          -          -           -           -
----------------------------------------------------------------------------
(1)  Ounces produced include production from tailings retreatment in        
     Olympias.                                                              
(2)  Cost figures calculated in accordance with the Gold Institute Standard.
(3)  Cash Operating Costs, plus royalties and the cost of off-site          
     administration.                                                        
(4)  Cash operating costs and total cash costs are non-IFRS measures. Please
     see our MD&A for an explanation and discussion of these.               
                                                                            
Eldorado Gold Corporation                                                   
Unaudited Condensed Consolidated Balance Sheets                             
(Expressed in thousands of U.S. dollars)                                    
                                                                            
                                                                            
                                                     June 30,  December 31, 
                                            Note         2014          2013 
                                                            $             $ 
ASSETS                                                                      
Current assets                                                              
  Cash and cash equivalents                           559,498       589,180 
  Term deposits                                        25,026        34,702 
  Restricted cash                                         262           262 
  Marketable securities                                 4,637         4,387 
  Accounts receivable and other                        82,822        89,231 
  Inventories                                         233,531       244,042 
                                                 ---------------------------
                                                      905,776       961,804 
Investment in associate                                     -        10,949 
Deferred income tax assets                              1,601           997 
Restricted assets and other                            55,581        37,330 
Defined benefit pension plan                           15,398        13,484 
Property, plant and equipment                       5,806,914     5,684,382 
Goodwill                                              526,296       526,296 
                                                 ---------------------------
                                                    7,311,566     7,235,242 
                                                 ---------------------------
                                                 ---------------------------
LIABILITIES & EQUITY                                                        
Current liabilities                                                         
  Accounts payable and accrued                                              
   liabilities                                        171,775       211,406 
  Current debt                                 5       16,253        16,402 
                                                 ---------------------------
                                                      188,028       227,808 
Debt                                           5      586,104       585,006 
Other non-current liability                  4(b)      47,711             - 
Asset retirement obligations                           86,423        85,259 
Deferred income tax liabilities                       852,575       842,305 
                                                 ---------------------------
                                                    1,760,841     1,740,378 
                                                 ---------------------------
Equity                                                                      
Share capital                                  6    5,314,813     5,314,589 
Treasury stock                                        (14,845)      (10,953)
Contributed surplus                                    37,197        78,557 
Accumulated other comprehensive loss                  (16,450)      (17,056)
Deficit                                               (80,965)     (143,401)
                                                 ---------------------------
Total equity attributable to shareholders                                   
 of the Company                                     5,239,750     5,221,736 
Attributable to non-controlling interests             310,975       273,128 
                                                 ---------------------------
                                                    5,550,725     5,494,864 
                                                 ---------------------------
                                                    7,311,566     7,235,242 
                                                 ---------------------------
                                                 ---------------------------

Approved on behalf of the Board of Directors


(Signed) Robert R. Gilmore          Director                                
(Signed) Paul N. Wright             Director                                

The accompanying notes are an integral part of these consolidated financial statements.


Eldorado Gold Corporation                                                   
Unaudited Condensed Consolidated Income Statements                          
(Expressed in thousands of U.S. dollars)                                    
                                                                            
                                     Three months ended    Six months ended 
                                               June 30,            June 30, 
                                    ----------------------------------------
                                                                            
                                         2014      2013      2014      2013 
                                            $         $         $         $ 
Revenue                                                                     
  Metal sales                         265,497   266,929   545,367   604,997 
Cost of sales                                                               
  Production costs                    122,524   116,133   257,309   246,501 
  Depreciation and amortization        44,095    35,234    89,667    72,348 
                                    ----------------------------------------
                                      166,619   151,367   346,976   318,849 
                                                                            
Gross profit                           98,878   115,562   198,391   286,148 
                                                                            
Exploration expenses                    3,890    10,240     7,785    17,864 
General and administrative expenses    19,099    18,239    34,943    34,725 
Defined benefit pension plan expense      413       619       816     1,248 
Share based payments                    5,281     3,291    12,275    12,168 
Foreign exchange loss (gain)           (1,553)    5,920    (2,914)    5,818 
                                    ----------------------------------------
Operating profit                       71,748    77,253   145,486   214,325 
Loss (gain) on disposal of assets       1,819       (51)    1,825       (15)
Loss (gain) on marketable securities                                        
 and other investments                    550         -     1,322       (21)
Loss on investments in associates           -       214       102     1,123 
Other income                           (3,631)   (3,138)   (2,847)   (5,114)
Asset retirement obligation                                                 
 accretion                                581       386     1,163       725 
Interest and financing costs            7,916    11,061    16,321    21,562 
                                    ----------------------------------------
                                    ----------------------------------------
Profit before income tax               64,513    68,781   127,600   196,065 
Income tax expense                     24,999    24,550    57,443   195,802 
                                    ----------------------------------------
                                    ----------------------------------------
Profit for the period                  39,514    44,231    70,157       263 
                                    ----------------------------------------
                                    ----------------------------------------
                                                                            
Attributable to:                                                            
Shareholders of the Company            37,632    43,274    68,900    (2,189)
Non-controlling interests               1,882       957     1,257     2,452 
                                    ----------------------------------------
Profit for the period                  39,514    44,231    70,157       263 
                                    ----------------------------------------
                                    ----------------------------------------
                                                                            
Weighted average number of shares                                           
 outstanding                                                                
Basic                                 716,249   715,038   716,239   714,739 
Diluted                               716,249   715,426   716,239   715,256 
                                                                            
Earnings per share attributable to                                          
 shareholders of the Company:                                               
Basic earnings per share                 0.05      0.06      0.10      0.00 
Diluted earnings per share               0.05      0.06      0.10      0.00 

The accompanying notes are an integral part of these consolidated financial statements.


Eldorado Gold Corporation                                                   
Unaudited Condensed Consolidated Statements of Comprehensive Income         
(Expressed in thousands of U.S. dollars except per share amounts)           
                                                                            
                                                                            
                                     Three months ended    Six months ended 
                                               June 30,            June 30, 
                                     ---------------------------------------
                                          2014     2013      2014      2013 
                                             $        $         $         $ 
                                                                            
Profit for the period                   39,514   44,231    70,157       263 
Other comprehensive gain (loss):                                            
Change in fair value of available-                                          
 for-sale financial assets                 336     (918)     (153)   (1,400)
Realized gains on disposal of                                               
 available-for-sale financial assets         -        -       759       (17)
                                     ---------------------------------------
Total other comprehensive gain (loss)                                       
 for the period                            336     (918)      606    (1,417)
                                     ---------------------------------------
                                     ---------------------------------------
Total comprehensive income (deficit)                                        
 for the period                         39,850   43,313    70,763    (1,154)
                                     ---------------------------------------
                                     ---------------------------------------
                                                                            
Attributable to:                                                            
Shareholders of the Company             37,968   42,356    69,506    (3,606)
Non-controlling interests                1,882      957     1,257     2,452 
                                     ---------------------------------------
                                     ---------------------------------------
                                        39,850   43,313    70,763    (1,154)
                                     ---------------------------------------
                                     ---------------------------------------

The accompanying notes are an integral part of these consolidated financial statements.


Eldorado Gold Corporation                                                   
Unaudited Condensed Consolidated Statements of Cash Flows                   
(Expressed in thousands of U.S. dollars)                                    
                                                                            
                                     Three months ended    Six months ended 
                                               June 30,            June 30, 
                                    ----------------------------------------
                                    ----------------------------------------
                               Note      2014      2013      2014      2013 
                                            $         $         $         $ 
Cash flows generated from                                                   
 (used in):                                                                 
Operating activities                                                        
Profit for the period                  39,514    44,231    70,157       263 
Items not affecting cash:                                                   
Asset retirement obligation                                                 
 accretion                                581       386     1,163       725 
Depreciation and                                                            
 amortization                          44,095    35,234    89,667    72,348 
Unrealized foreign exchange                                                 
 loss (gain)                             (508)      403      (124)      524 
Deferred income tax expense               471       560     9,667   136,448 
Loss (gain) on disposal of                                                  
 assets                                 1,819       (51)    1,825       (15)
Loss on investments in                                                      
 associates                                 -       214       102     1,123 
Loss (gain) on marketable                                                   
 securities and other                                                       
 investments                              550         -     1,322       (21)
Share based payments                    5,281     3,291    12,275    12,168 
Defined benefit pension plan                                                
 expense                                  413       619       816     1,248 
                                    ----------------------------------------
                                       92,216    84,887   186,870   224,811 
                                                                            
Changes in non-cash working                                                 
 capital                          9   (29,383)  (63,433)  (54,600)  (36,265)
                                    ----------------------------------------
                                       62,833    21,454   132,270   188,546 
Investing activities                                                        
Net cash used on acquisition                                                
 of subsidiary                  4(a)        -         -   (30,318)        - 
Purchase of property, plant                                                 
 and equipment                       (107,917) (116,549) (188,347) (217,763)
Proceeds from the sale of                                                   
 property, plant and                                                        
 equipment                                 92       136       176       192 
Proceeds on production from                                                 
 tailings retreatment                  11,765    10,900    20,557    15,228 
Purchase of marketable                                                      
 securities                              (852)        -      (852)        - 
Proceeds from the sale of                                                   
 marketable securities                    243         -       865       332 
Investments in associates                   -         -         -    (6,357)
Redemption of (investment                                                   
 in) term deposits                    (20,000)  (62,514)    9,676  (221,441)
Decrease in restricted cash               (24)       15         2         5 
                                    ----------------------------------------
                                     (116,693) (168,012) (188,241) (429,804)
Financing activities                                                        
Issuance of common shares                                                   
 for cash                                   -       179         -     1,601 
Investment by non-                                                          
 controlling interest           4(b)        -         -    40,000         - 
Dividend paid to                                                            
 shareholders                               -         -    (6,464)  (50,241)
Dividends paid to non-                                                      
 controlling interest                    (815)               (815)          
Purchase of treasury stock                 (9)     (168)   (6,413)   (6,462)
Long-term and bank debt                                                     
 proceeds                                   -         -    16,363    12,412 
Long-term and bank debt                                                     
 repayments                                 -         -   (16,382)  (10,354)
Loan financing costs                        -        90         -      (383)
                                    ----------------------------------------
                                    ----------------------------------------
                                         (824)      101    26,289   (53,427)
                                    ----------------------------------------
Net decrease in cash and                                                    
 cash equivalents                     (54,684) (146,457)  (29,682) (294,685)
Cash and cash equivalents -                                                 
 beginning of period                  614,182   668,615   589,180   816,843 
                                    ----------------------------------------
                                    ----------------------------------------
                                                                            
Cash and cash equivalents -                                                 
 end of period                        559,498   522,158   559,498   522,158 
                                    ----------------------------------------
                                    ----------------------------------------

The accompanying notes are an integral part of these consolidated financial statements.


Eldorado Gold Corporation                                                   
Unaudited Condensed Consolidated Statements of Changes in Equity            
(Expressed in thousands of U.S. dollars)                                    
                                                                            
                                   Three months ended      Six months ended 
                                             June 30,              June 30, 
                           Note       2014       2013       2014       2013 
                                         $          $          $          $ 
Share capital                                                               
Balance beginning of                                                        
 period                          5,314,813  5,303,095  5,314,589  5,300,957 
  Shares issued upon                                                        
   exercise of share                                                        
   options, for cash                     -        179          -      1,601 
  Transfer of contributed                                                   
   surplus on exercise of                                                   
   options                               -        273          -        989 
  Transfer of contributed                                                   
   surplus on exercise of                                                   
   deferred phantom units                -      3,400        224      3,400 
                                --------------------------------------------
Balance end of period            5,314,813  5,306,947  5,314,813  5,306,947 
                                --------------------------------------------
                                --------------------------------------------
                                                                            
Treasury stock                                                              
Balance beginning of                                                        
 period                            (17,357)   (12,307)   (10,953)    (7,445)
  Purchase of treasury                                                      
   stock                                (9)      (168)    (6,413)    (6,462)
  Shares redeemed upon                                                      
   exercise of restricted                                                   
   share units                       2,521        700      2,521      2,132 
                                --------------------------------------------
Balance end of period              (14,845)   (11,775)   (14,845)   (11,775)
                                --------------------------------------------
                                                                            
Contributed surplus                                                         
Balance beginning of                                                        
 period                             35,424     71,827     78,557     65,382 
  Share based payments               5,035      3,935     11,750     12,528 
  Shares redeemed upon                                                      
   exercise of restricted                                                   
   share units                      (2,521)      (700)    (2,521)    (2,132)
  Recognition of other                                                      
   non-current liability                                                    
   and related costs        4(b)      (741)         -    (50,365)         - 
  Transfer to share                                                         
   capital on exercise of                                                   
   options and deferred                                                     
   phantom units                         -     (3,673)      (224)    (4,389)
                                --------------------------------------------
Balance end of period               37,197     71,389     37,197     71,389 
                                --------------------------------------------
                                                                            
Accumulated other                                                           
 comprehensive loss                                                         
Balance beginning of                                                        
 period                            (16,786)   (25,034)   (17,056)   (24,535)
  Other comprehensive                                                       
   loss for the period                 336       (918)       606     (1,417)
                                --------------------------------------------
Balance end of period              (16,450)   (25,952)   (16,450)   (25,952)
                                --------------------------------------------
                                                                            
Retained earnings                                                           
 (deficit)                                                                  
Balance beginning of                                                        
 period                           (118,597)   499,172   (143,401)   594,876 
  Dividends paid                         -          -     (6,464)   (50,241)
  Profit (loss)                                                             
   attributable to                                                          
   shareholders of the                                                      
   Company                          37,632     43,274     68,900     (2,189)
                                --------------------------------------------
                                --------------------------------------------
Balance end of period              (80,965)   542,446    (80,965)   542,446 
                                --------------------------------------------
Total equity attributable                                                   
 to shareholders of the                                                     
 Company                         5,239,750  5,883,055  5,239,750  5,883,055 
                                --------------------------------------------
                                                                            
Non-controlling interests                                                   
Balance beginning of                                                        
 period                            312,503    285,595    273,128    284,100 
  Profit attributable to                                                    
   non-controlling                                                          
   interests                         1,882        957      1,257      2,452 
  Dividends declared to                                                     
   non-controlling                                                          
   interests                        (3,410)         -     (3,410)         - 
  Increase during the                                                       
   period                   4(b)         -          -     40,000          - 
                                --------------------------------------------
Balance end of period              310,975    286,552    310,975    286,552 
                                --------------------------------------------
                                                                            
Total equity                     5,550,725  6,169,607  5,550,725  6,169,607 
                                --------------------------------------------
                                --------------------------------------------

The accompanying notes are an integral part of these consolidated financial statements.

Click here for the Unaudited Condensed Consolidated Financial Statements for the quarter ended June 30, 2014: http://media3.marketwire.com/docs/eldq2fsmda.pdf.

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Amazon, Google and Facebook are household names in part because of their mastery of Big Data. But what about organizations without billions of dollars to spend on Big Data tools - how can they extract value from their data? In his session at 6th Big Data Expo®, Ali Ghodsi, Co-Founder and Head of Engineering at Databricks, discussed how the zero management cost and scalability of the cloud is addressing the challenges and pain points that data engineers face when working with Big Data. He also s...
Container frameworks, such as Docker, provide a variety of benefits, including density of deployment across infrastructure, convenience for application developers to push updates with low operational hand-holding, and a fairly well-defined deployment workflow that can be orchestrated. Container frameworks also enable a DevOps approach to application development by cleanly separating concerns between operations and development teams. But running multi-container, multi-server apps with containers ...
Software development, like manufacturing, is a craft that requires the application of creative approaches to solve problems given a wide range of constraints. However, while engineering design may be craftwork, the production of most designed objects relies on a standardized and automated manufacturing process. By contrast, much of moving an application from prototype to production and, indeed, maintaining the application through its lifecycle has often remained craftwork. In his session at Dev...
Software Development Solution category in The 2015 American Business Awards, and will ultimately be a Gold, Silver, or Bronze Stevie® Award winner in the program. More than 3,300 nominations from organizations of all sizes and in virtually every industry were submitted this year for consideration. "We are honored to be recognized as a leader in the software development industry by the Stevie Awards judges," said Steve Brodie, CEO of Electric Cloud. "We introduced ElectricFlow and our Deploy app...
SYS-CON Events announced today that DragonGlass, an enterprise search platform, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. After eleven years of designing and building custom applications, OpenCrowd has launched DragonGlass, a cloud-based platform that enables the development of search-based applications. These are a new breed of applications that utilize a search index as their backbone for data...
While there are hundreds of public and private cloud hosting providers to choose from, not all clouds are created equal. If you’re seeking to host enterprise-level mission-critical applications, where Cloud Security is a primary concern, WHOA.com is setting new standards for cloud hosting, and has established itself as a major contender in the marketplace. We are constantly seeking ways to innovate and leverage state-of-the-art technologies. In his session at 16th Cloud Expo, Mike Rivera, Seni...
SYS-CON Events announced today that EnterpriseDB (EDB), the leading worldwide provider of enterprise-class Postgres products and database compatibility solutions, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. EDB is the largest provider of Postgres software and services that provides enterprise-class performance and scalability and the open source freedom to divert budget from more costly traditiona...
The Internet of Things is not only adding billions of sensors and billions of terabytes to the Internet. It is also forcing a fundamental change in the way we envision Information Technology. For the first time, more data is being created by devices at the edge of the Internet rather than from centralized systems. What does this mean for today's IT professional? In this Power Panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists will addresses this very serious issue o...
An entirely new security model is needed for the Internet of Things, or is it? Can we save some old and tested controls for this new and different environment? In his session at @ThingsExpo, New York's at the Javits Center, Davi Ottenheimer, EMC Senior Director of Trust, reviewed hands-on lessons with IoT devices and reveal a new risk balance you might not expect. Davi Ottenheimer, EMC Senior Director of Trust, has more than nineteen years' experience managing global security operations and asse...
The Internet of Things is a misnomer. That implies that everything is on the Internet, and that simply should not be - especially for things that are blurring the line between medical devices that stimulate like a pacemaker and quantified self-sensors like a pedometer or pulse tracker. The mesh of things that we manage must be segmented into zones of trust for sensing data, transmitting data, receiving command and control administrative changes, and peer-to-peer mesh messaging. In his session a...
In their general session at 16th Cloud Expo, Michael Piccininni, Global Account Manager – Cloud SP at EMC Corporation, and Mike Dietze, Regional Director at Windstream Hosted Solutions, will review next generation cloud services, including the Windstream-EMC Tier Storage solutions, and discuss how to increase efficiencies, improve service delivery and enhance corporate cloud solution development. Speaker Bios Michael Piccininni is Global Account Manager – Cloud SP at EMC Corporation. He has b...
SYS-CON Events announced today that MetraTech, now part of Ericsson, has been named “Silver Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. Ericsson is the driving force behind the Networked Society- a world leader in communications infrastructure, software and services. Some 40% of the world’s mobile traffic runs through networks Ericsson has supplied, serving more than 2.5 billion subscribers.
EMC Corporation on Tuesday announced it has entered into a definitive agreement to acquire privately held Virtustream. When the transaction closes, Virtustream will form EMC’s new managed cloud services business. The acquisition represents a transformational element of EMC’s strategy to help customers move all applications to cloud-based IT environments. With the addition of Virtustream, EMC completes the industry’s most comprehensive hybrid cloud portfolio to support all applications, all workl...
While great strides have been made relative to the video aspects of remote collaboration, audio technology has basically stagnated. Typically all audio is mixed to a single monaural stream and emanates from a single point, such as a speakerphone or a speaker associated with a video monitor. This leads to confusion and lack of understanding among participants especially regarding who is actually speaking. Spatial teleconferencing introduces the concept of acoustic spatial separation between confe...
Buzzword alert: Microservices and IoT at a DevOps conference? What could possibly go wrong? In this Power Panel at DevOps Summit, moderated by Jason Bloomberg, the leading expert on architecting agility for the enterprise and president of Intellyx, panelists will peel away the buzz and discuss the important architectural principles behind implementing IoT solutions for the enterprise. As remote IoT devices and sensors become increasingly intelligent, they become part of our distributed cloud en...