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The gold ore reserves at the largest Polus Gold deposit were heavily overvalued
If before Polyus Gold estimated the resources of the Natalka deposit in 59,7 million ounces of gold, now the forecast is 36,8 million ounces. The reserves have decreased by about half and amount to 16,2 million ounces of gold compared to the previous 31,6 million ounces. In addition, the expected gold content in the deposit from 2,1 g gold per tonne of ore to 1,6 g per ton decreased.
It was planned that processing 10 million tons of ore will bring 500 000 ounces of gold, but at the end of October last year Natalk produced 9,22 million tons of ore, but the gold content was only 250 000 ounces of gold.
All these facts affected the decision of the company, announced at the end of last year and consisting in the cancellation of the construction of a mining and processing plant at the field.
As previously reported in EastRussia, Polus Gold has already invested in the Natalka deposit 41,9 billion rubles or about 1,2 billion dollars.
Upon completion of the revaluation of the deposit's reserves, the company expects a non-cash write-off of the asset's book value, Vedomosti writes.