Add to favorite
 
Subscribe to our Newsletters Subscribe to our Newsletters Get Daily Updates RSS

Polyus Gold Delays Natalka Project to Avoid Revenue Loss
3.02.2014 11:59
Polyus Gold Delays Natalka Project to Avoid Revenue Loss
Photo Credit: http://www.trust.ua

Polyus Gold (LSE – PGIL, OTC (US) – PLZLY) delays the launch of the Natalka plant until summer 2015, says an official statement.

      The delay is due to the ‘challenging market conditions’, i.e. a decline in gold prices that would make production less profitable if the company opened the plant as in mid-2014 as it was expected.

      In its press release, the largest Russian gold producer has attempted to skew the news in its favour. “Further to a deferral of the project’s residual capex, the re-sequencing will allow the Company to identify additional cost and operational efficiencies, including the optimisation of capital and operating expenditures, improvements to the project design and the potential implementation of the photo metric separation technology (optical sorting) as a way to pre-enrich the ore,” says the news update on its website.

      Polyus Gold expects to finalise a detailed plan of improvements to the project by the middle of 2014 following a thorough project assessment review scheduled for H1 2014.

      “Polyus Gold remains fully committed to bringing Natalka on stream. Once in operation, it will be Russia’s largest gold mine with its first stage producing an average of 500 thousand ounces of gold per year,” said Pavel Grachev, Interim CEO of Polyus Gold.

      As Russia-IC reported earlier, Polyus Gold’s production totaled 1.65 million ounces (or 51.3 tonnes) in 2013, up 5 percent on the year before.

      However, due to the falling prices, the company's earnings took a 12 percent dive to $2.3 billion due to a 17 percent decline in gold prices. Capex are expected to total $650-750 million in 2014.  




Author: Mikhail Vesely

Tags: Polyus Gold Russian gold Natalka Project   

Next Previous


You might also find interesting:








Comment on our site


RSS   twitter      submit



TAGS:
Albert Charkin  Fashion Futurum  Russian science  Vladivostok  Russian spies  Spartak Moscow  Apocalypses  Arthouse  Voices Film Festival  Lipetsk   Russian film industry  Russian sport  Zaryadye  invest  Kabardino-Balkaria  Bolotnaya case  Russian Cinema  active holidays in Russia  Black Sea  Great Hall of Moscow Conservatory  Book Tickets for Ballet  Russian tourism  bus tickets Russia FIFA  Nikolay Rubtsov  Moscow  technology  Kremlin  Transdniester  Russian academy of sciences  Aleksandr Zbruyev  Russian scientists  State History Museum  Museum of Cinema  Russian economy  Education and Science Minister  Russian business  Mercedes-Benz Fashion Week Russia  Moscow Metro  St. Petersburg Parks   Maxim Nogotkov   Exhibitions in Moscow  Vladimir Kolesnikov  Russian souvenirs  St. Petersburg  Engels  Aleksandr Ovechkin  traffic in Moscow  Stereotypes about Russia  Kaliningrad Region  Mercedes-Benz Fashion Week  


Travel Blogs
Top Traveling Sites