Russia’s Sberbank can lend $350 mln for Kyzyl gold ore project

ASTANA, Jun 15 (PRIME) -- Russian precious metals producer Polymetal International has agreed with Sberbank on an up to U.S. $350 million financing of the Kyzyl gold ore project in Kazakhstan, CEO of Polymetal Vitaly Nesis said at a congress on Wednesday.

“As regards the Kyzyl financing, we have reached a principal agreement with Sberbank on project financing amounting to about $350 million. This is long money, about six years. We are now formalizing documents,” Nesis said.

He said that long-term financing of projects in Kazakhstan is significantly easier to raise than in Russia due to political issues. Polymetal hopes to raise funding to buy the Komarovskoye field with no problem.

Kyzyl’s gold reserves are estimated at 7.3 million ounces.

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