Gold and precious minerals refiner Kaloti Group reports that construction has started on its first gold and precious metals refinery and bullion manufacturing plant, in Suriname, South America.
The refinery, which has an operating funding allocation of up to $20-million, is part of a joint venture (JV) with the government of Suriname and local gold traders. It is expected to have a yearly output of 60 t of refined gold in its second phase. The initial phase is scheduled to start physical processing in mid-2014, while the second phase is planned to start in 2016.
Suriname President Desire Bouterse and fellow Ministers and Members of Parliament attended the ground breaking.
Kaloti Group chairperson Munir Kaloti says with the appropriate services, products and policies, Suriname can become a centre of excellence for the region’s gold and precious metals industry.
He adds that with an average gold production of 40 t/y, which comes from a combination of artisanal and large-scale mining, it is important to ensure the gold mined is evaluated (melted and assayed) on site before it is shipped abroad.
“We are pleased to be picked by Suriname’s government to construct its first gold and precious metals refinery and mint house, as it pushes ahead with its efforts of regulating, monitoring and modernising the country’s gold and precious metals sector. It is a real testament to our international reputation and market leadership position based on more than 25 years of continuous operation in emerging markets and more than 17 years of collaboration with the Suriname gold trader,” he states.
Known as Kaloti Suriname Mint House, the agreement to invest capital and share knowledge and skills will go a long way to achieving the Suriname government’s aim of regulating the gold and precious metals sector. The refinery will be the first of its kind in Suriname and the region, taking in the Caribbean and the Guiana Shield, which underlies Guyana, Suriname and French Guiana, as well as parts of Colombia, Venezuela and Brazil.
It will focus on melting and producing gold bars to international standards (999.9 purity) for the local and international markets. When operational, the Mint House will add to the Dubai-based Kaloti Jewellery Group’s redefined gold and precious metals output and physical trading activity, which reached $32-billion in 2012.
President Bouterse stated that the Kaloti Group was chosen to increase the value of the country’s mineral assets by playing a leading role in modernising the industry.
“This collaboration will bring significant value to Suriname and its mining industry in terms of international reputation, knowledge and experience of gold and precious metals refinery and bullion trading. The long-term goal of transforming Suriname into a major producer and refiner has now been set in motion,” Bouterse said.
The refinery will also have a strategic location in trade terms, located in a special economic zone and in close proximity to Paramaribo International Airport, in northern Suriname.
Kaloti adds that the JV strengthens the Kaloti Group’s position as a global provider of refined gold and value added services, while enhancing its capabilities to meet the growing needs of the Suriname government as well as the needs of North and South America.