1st Dec 2020 10:16
(Alliance News) - Polymetal International PLC on Tuesday said it has announced an initial investment of USD500,000 in exchange for a 35% stake in a joint venture with a junior holding for an exploration license in the Pekinskaya area of the Taimyr Peninsula, Russia.
The FTSE 100 gold and silver producer can acquire up to a 70% interest in the Pekinskaya JV, which adjoins the existing Taimyr JV, by funding RUB173 million , around USD2.3 million, in exploration expenditures.
Polymetal can increase its stake up to 63% through a further investment of RUB85 million in newly issued share capital by March 2021 following the first field season results assessment. Then, following the second field season results assessment, it can increase its stake up to 70% for a further investment of RUB48 million in newly issued share capital by March 2022.
Chief Executive Vitaly Nesis said: "Through this new joint venture Polymetal has expanded its footprint in the highly prospective Taimyr region with the potential to discover a significant copper-gold porphyry mineralisation. We continue to be committed to further development of our exploration portfolio through partnerships with juniors in the regions of our presence."
Shares in Polymetal International were up 2.8% at 1,605.80 pence in London on Tuesday.
By Zoe Wickens; [email protected]
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