6th Nov 2020 10:28
(Alliance News) - Polymetal International PLC on Friday reported an initial ore reserve estimate for the Pesherny deposit in Russia of 399,000 ounces of gold.
Pesherny is located 15 kilometres from the miner's Voro production site. The initial JORC-compliant ore reserve estimate as at July 1 comprises 2.1 million tonnes of ore with an average gold grade of 6.0 grams of gold per tonne of ore, containing 399,000 ounces of gold.
The reserve estimate assumes seven years of underground and open pit mining, set to begin in the third quarter of 2021.
Polymetal said 90% of reserves are represented by primary ore, to be processed at the Voro flotation plant. This is currently under construction, with production to begin in the first 2023 quarter.
Life-of-mine production from refractory metal is forecast at 310,000 ounces of gold with average annual production between 2023 and 2027 estimated at around 55,000 ounces of gold at all-in sustaining cost of USD450 to USD500 per ounce.
Mineral resources, in addition to ore reserves, total 500,000 tonnes of ore with an average gold grade of 6.5 grams per tonne, representing 97,000 ounces of gold contained.
Shares in Polymetal were up 1.0% at 1,849.70 pence in London on Friday morning.
By Anna Farley; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
POLY.L