PJSC "Polyus" is planning to purchase additional stake of 23.9% in the company "SL Gold" from GC "Rostech" after obtaining a license for nearly $141 million, the company informs.
Earlier, on Thursday "SL Gold", which is a joint venture of "Polyus" and "Rostech", won the auction for the development of the largest undeveloped gold deposit in Russia Sukhoi Log (and one of the largest in the world), paying 9.4 billion roubles. Currently, "Polyus" owns shares in the joint venture in the amount of 51%, "Rostech" - 49%.
"Polyus" intends to purchase an additional share from RT at a rate of 23.9% in the company "SL Gold" after obtaining a license for approximately $ 141 million (at the exchange rate of the rouble to the dollar on the release of the release date), which will be paid in installments over the next five years (with the right to accelerate the process of acquiring)", - "Polyus" informs.
The results of the auction, according to expectations of "Polyus", can be officially declared before the end of February, followed by up to three months or more delivery of the license to use mine. In the case of a license, the company intends to carry out additional exploration work and to prepare a feasibility study, which will take nearly 3-4 years.
"As a result of these works, "Polyus" will evaluate the different options for the start of construction on the field. In view of similar mineral and chemical composition of ores of Sukhoi Log and Verninskoye the company will evaluate the possibility of applying processing methods implemented at Verninskoye to Sukhoi Log", - the report informs.
Sukhoi Log contains estimated resources of gold in categories B + C1 + C2 1,656 tons, silver – 1,533 tons, off-balance reserves of gold are 522 tons. The share of deposits in the country's total reserves of gold is 28%. According to the RF Ministry of Natural Resources, development of the field will require capital expenditures worth 90-100 billion roubles. Mining in the area of Sukhoi Log in the Irkutsk region, according to agency forecasts, could reach 80-90 tons of gold and 20-25 tons of silver per year.