Russian government to speed development of one of country’s largest gold fields

ukhoi Log, Russia's largest gold field. Photo: Polys

The Russian government may provide additional support to Polyus company, the world’s largest gold mining group in its project for the development Sukhoi Log field, one of the largest undeveloped gold deposits in the world, which is located in the Irkutsk Region.


According to the Russian Vedomosti business paper, citing on its sources in the Russian government without additional support from the state, implementation of the project will become less profitable.


It is planned, the additional support could be in the form of tax breaks.


The reserves of the field are estimated at 40 million ounces of gold - 38.4% of Polyus's raw material base. The capital expenditures of the project are RUB 250–300 billion. The creation of a mining and processing complex (GOK) at the Sukhoi Log deposit will give the Irkutsk region 3,000 jobs.


The company is currently preparing a feasibility study for the project.


In a conversation with Vedomosti, the federal official said that, despite the fact that the changes were originally intended for Polyus, other companies will also be able to take advantage of them.


By: Eugene Gerden