Currently viewing Global edition

Polymetal sells Sopka assets for US$10 million

Polymetal has sold its non-core Sopka assets in the Magadan region of Eastern Russia to an unnamed private Russian miner for US$10 million and a 1% net smelter return (NSR).
Polymetal sells Sopka assets for US$10 million Polymetal sells Sopka assets for US$10 million Polymetal sells Sopka assets for US$10 million Polymetal sells Sopka assets for US$10 million Polymetal sells Sopka assets for US$10 million

Polymetal's Amursk POX hub is Russia’s first pressure oxidation plant

Staff reporter

The assets, previously part of Polymetal's Omolon hub, included low grade ore stockpiles as well as a number of mining and exploration licenses for deposits where mining activities stopped in 2018.

The NSR is payable if the gold price exceeds US$1,500/oz and is capped at US$50 million. Should the gold price average in excess of US$1,600/oz in 2022, Polymetal said the buyer would have to compensate for any exchange rate movements from January 30 2020 to the end of December 2022.

London-based Numis Securities said it viewed the sale as "non-material" for the company, "but nevertheless a good sign that the company has continued to sell off non-core assets and proactively manage its portfolio".