Russian state budget to attract $6 billion of revenue from development of world’s largest undeveloped gold field

Photo: Tekkos

Budget revenues from the development of Sukhoi Log, the world’s largest undeveloped gold field, located in the Russian Irkutsk region until 2039 will reach RUB 470 billion (US$6 billion), according to recent statements, made by the press-service of the Russian Ministry of Industry and Trade.

 

According to Alexei Bezprozvannykh, deputy head of the Ministry, the development of the field will allow to produce more than 70 tons of gold per year and create 2.500 new jobs.

 

Already by 2026, Sukhoi Log will be the largest operating gold field in Russia.

 

As part of preparations for the project, the airport in the city of Bodaibo, (Irkutsk region), will be reconstructed, the railway infrastructure will be expanded, while new roads will be built.

 

For the development of the field, the state corporation "Rostec" and the gold mining company "Polyus" have already created a joint venture known as "SL Gold.

 

 

The reserves of Sukhoi Log are estimated at 40 million ounces of gold and 540 million tons of ore. As part of the plans of Polyus is building a mining and processing plant with a capacity of 33.2 million tons of ore per year in the period 2022-2026. Total volume of investments in the project will be about US$3.3 billion.

 

Polyus is the largest gold producer in Russia with assets in the Krasnoyarsk Territory, Irkutsk and Magadan Regions, as well as in the Republic of Sakha (Yakutia).

 

By: Eugen Gerden