A detailed field and petrographic study constrains the volcanic evolution and environment setting of the volcanosedimentary-hosted Chelopech Cu–Au epithermal deposit, Bulgaria. Magmatic activity and associated highsulfidation epithermal mineralization occurred at about 91 Ma in the Panagyurishte ore district of the Eastern European Banat–Timok–Srednogorie metallogenic belt. Volcanic and hydrothermal activity took place in a complex subaqueous setting, resulting in the intercalation of quartz sandstone with andesitic volcanic and volcaniclastic breccia. There are also hypabyssal andesite intrusion, phreatomagmatic breccia and interbeds of pyroclastic, oolithic and bioclastic rocks. The presence of altered cerebroid ooid-bearing sedimentary units characteristic of salty environment is in accordance with a lagoon environment predating the mineralization at Chelopech. Four principal stages of evolution for the Chelopech district are proposed based on field and petrographic observations. Initial volcanism occurred in a lake or in a coastal, shallow lagoon environment above crystalline basement. The Chelopech “phreatomagmatic” breccia and subsurface andesites were emplaced at this time. Subsequent hydrothermal activity produced the different hydrothermal breccia types, advanced argillic and quartz–phyllic alteration, and Au–Cu vein and replacement mineralization. The end of volcanismand hydrothermal activity was associated with opening of a pull-apart basin that covered the Chelopech environment with a sedimentary flysch. Tertiary compression faulting juxtaposed various rocks and tilted the ore deposit during the Alpine orogeny.