Polymetal puts Russian project up for sale

Mineral miner Polymetals International is looking for a joint venture partner for its Tamunier project in the Sverdlovsk region of Russia or to offload the asset completely after disappointing test results.

The group says an assessment of the site has been carried out after its purchase in 2007 revealing a resource of around 50m tonnes of ore which does contain gold but, crucially, not at the level which Polymetal usually targets.

"I am pleased with the results of our exploration work at Tamunier" said Vitaly Nesis, the group's Chief Executive Officer, mindful of the need to negotiate a good price for the sale of its interest in the site. "The size of the deposit is quite substantial," he added.

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"However, the Tamunier project does not fit with our strategy of concentrating on higher-grade assets and we will, therefore, consider a sale or partnership to advance the development of the asset".

BS