Polymetal gold mining company has signed a deal with triark mining LLC (Triaark) to acquire a 9, 1% stake. The company implements the project of Tomtor rare earth metals Deposit in Yakutia.
In the authorized capital of "Triark mining" 20 million dollars were made in cash. Before the increase in fixed capital, the business value was estimated at $ 249 million. The funds received will be invested in the development of the project. In particular, it is planned to complete a feasibility study and evaluate ore reserves and mineral resources in accordance with the JORC code.
Vitaly Nesis, head of Polymetal, said: "The investment in Tomtor gives us the opportunity to participate in the raw material support of the global transition to electric transport and form a foothold in the fast-growing markets for niobium and rare earth metals. Our investment and engineering expertise will be key components of the project's further development."
Completion of the transaction is expected at the end of March after state registration.
In October 2019, the head of Polymetal called the asset "objectively the best rare earth metals in Russia". Vitaly Nesis also noted that in December, the company's Board of Directors will discuss joining the project, and said that "a small investment"is meant.
Earlier it was reported in "Triark mining" that at the moment all exploration work on the field has already been completed. The total investment in the development of the Reactor will amount to more than 55 billion rubles.
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The tomtorskoye field is located in the North-West of the Republic of Sakha (Yakutia) and is one of the largest deposits of rare earth metals in the world. It was opened in 1977. Today, the forecast resources are 154 million tons of ore with a very high content of oxides of 10 rare earth elements, including niobium, terbium, yttrium and scandium. The reserves contain about 30 million tons of ore and 82 thousand tons of monazite concentrate.
Polymetal is the largest silver producer in Russia and one of the leading gold mining companies with assets in Russia and Kazakhstan.
