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Polyus buys another 25% stake in Sukhoi Log

14th July 2017

By: Mariaan Webb

Creamer Media Senior Deputy Editor Online

     

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JOHANNESBURG (miningweekly.com) – Russian gold major Polyus has moved to gain 100% ownership of the Sukhoi Log licence – one of the world’s largest untapped gold deposits.

The company announced this week that it had entered into a number of option agreements with a subsidiary of State-owned Rostec to acquire an additional 25.1% participation interest in Sukhoi Log for $145.9-million.

Polyus will pay for the interest in shares over the next five years.

In December, Polyus entered into a cash option agreement with Rostec to acquire a 23.9% stake in the deposit for $139-million. The first option was exercised in May this year, increasing the gold miner’s interest in the deposit to 54.6%.

Sukhoi Log has an estimated mineral reserve of 887-million tons at a grade of 2 g/t for 58-million ounces of gold.

Edited by Creamer Media Reporter

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