Polymetal Russia ore estimate supports development
Source - SMW
Polymetal International said an initial ore estimate at its Nezhda gold property in Russia has supported the asset's economic viability.
Open-pit ore reserves were estimated at 15.5 Mt, with an average gold equivalent grade of 4.0 g/t for 2.0 Moz of GE contained, the company said.
The company said it expected to achieve average annual production of 150 Koz of payable gold in concentrate with all-in sustaining cash costs in the range of US$ 650-710/oz of GE and total cash costs in the range of US$590-640/oz of GE.
Total capital expenditures are estimated at $249m,including pre-stripping costs.
"I am pleased that the initial ore reserve estimate for Nezhda reaffirms its economic viability and justifies Polymetal's approach to developing the asset," chief executive Vitaly Nesis said.
"With low capital intensity and significant low-cost production, Nezhda retains significant optionality, which we will work hard on to incorporate in the development plan before our final investment decision".
At 8:14am: (LON:POLY) Polymetal International PLC share price was +0.5p at 889.5p