The Russian Ministry of Defence has approved the Monchetundra Flanks application, which precious metals miner Eurasia Mining hails as an important step in obtaining the licence.
The Monchetundra project is two predominantly palladium openpit deposits located 3 km away from Severonickel, one of the largest Norilsk Nickel's base metals and platinum group metals processing facility, near the town of Monchegorsk on the Kola Peninsula.
Final approval for the Monchetundra Flanks application is still required from the regional licencing body, SevZapNedra.
“We look forward to the formal license issue, which is in line with our strategy to become one of the largest alluvial PGM operations globally. We believe we are now established as an important player in the PGM space in both the Urals and Kola regions,” said Eurasia chairperson Christian Schaffalitzky.
At West Kytlim, in Urals, Eurasia is scaling up operations providing, what it believes, will be the lowest cost PGM operation that is potentially sustainable over several decades.
“Our cash cushion, our zero debt, the progress on the Monchetundra Flanks and the favourable price environment for PGM, particularly for palladium and rhodium, are helping us in our ongoing talks and discussions, and we believe this strengthens our negotiating position as we continue to explore options for our assets".