Baku, Azerbaijan, August 3
By Elena Kosolapova - Trend:
Russian Polymetal company completed acquisition of Orion Minerals, the holding company for the Komarovskoye Gold Deposit in Kazakhstan, from Kazzinc company, a subsidiary of Anglo–Swiss Glencore plc, said the message from Polymetal.
The company paid $100 million in cash for this deposit.
In addition, Kazzinc will get a deferred consideration, which will depend on future production levels and gold price. The deferred consideration, capped at $80 million, shall be calculated on a quarterly basis, and is payable if the price of gold exceeds $1,250 per ounce.
According to the JORC Code from 2012, total Probable Ore Reserves at the Komarovskoye deposit are estimated at 14.2 million tons at an average grade of 2 grams per ton Au with 0.9 million ounces of contained gold. Mineral Resources (additional to Ore Reserves) are estimated at 9.8 million tons of ore at an average grade of 2.2 gram per ton Au containing 0.7 million ounces of gold.
Polymetal plans to start production at the deposit in Q4 of 2016.
Edited by SI
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