Kopy Goldfields AB (publ) is pleased to announce that LLC Krasny, a joint venture between Kopy Goldfields and GV Gold, has acquired an alluvial gold license for using the Krasny Ruchey site ("ruchey" is a Russian word for "brook"), located within the boundary of the already owned Krasny bedrock gold license. The Krasny Ruchey license will give the right to explore and produce placer gold for 15 years.
The total prognostic Russian GKZ resources of the P2 category amount to 30 kg. The total license area includes two separate blocs, "Ruchey Krasny 1" and "Ruchey Krasny 2" and is located within the contour of the Krasny bedrock gold license, already held by LLC Krasny (see Appendix 1 for the license location map), where the exploration activities are currently carried out. In addition to LLC Krasny, three more companies participated in the action and the final acquisition price totaled RUB 280 thousand (approximately USD 5 thousand), which was paid by LLC Krasny.
Mikhail Damrin, CEO of Kopy Goldfields, comments the news: "This acquisition is a logical step in preparing our Krasny project for bedrock gold production. When this alluvial auction was announced earlier this year, we had already commenced the Stage 2 exploration activities and had clear plans over the future bedrock production. Due to the location of the Krasny Ruchey license area, this placer operation, if not properly coordinated, would potentially interfere with our future bedrock mining activities. Therefore, it was an obvious decision for us to bid in the auction and we are happy to win it at a very reasonable price. We will now develop this alluvial project on a merit basis: if the alluvial production from the Krasny Ruchey license area proves to be profitable, then we will produce it in parallel with development of the Krasny bedrock mining operations in the way that they create synergies in terms of stripping operations. This will potentially bring us placer revenues ahead of bedrock revenues. LLC Krasny does not need to run the placer mining itself since there is a number of alluvial producers in the area that can serve as an operator and our joint venture partner, GV Gold, has equipment and experience of alluvial mining in the area."
For the complete press release including tables, images and maps see attached document.
För pressmeddelande på svenska se bifogat dokument (Swedish).
2015 Stockholm, July 23, 2015
For more information, please contact:
Mikhail Damrin, CEO, +7 916 808 12 17, mikhail.damrin@kopygoldfields.com
Tim Carlsson, CFO, + 46 702 31 87 01, tim.carlsson@kopygoldfields.com
The following documents can be retrieved from beQuoted
Kopy Goldfileds Pressrelease 2015-07-23 English.pdf
Kopy Goldfields Pressrelease 2015-07-23 Swedish.pdf
About Kopy Goldfields AB
Kopy Goldfields AB (publ), listed at NASDAQ First North in Stockholm is a gold exploration and production company operating in one of the most gold rich areas in the world; Lena Goldfields, Bodaibo, Russia. The company holds 11 bedrock exploration- and production licenses and one alluvial licanse on 1,963 sq km, of which the Krasny license is held to 49% and is preliminary forecasted to be in production in 2017. The target for Kopy Goldfields is to become a near-term gold producer in cooperation with a producing partner under JV agreement.
Kopy Goldfields AB applies International Financial Reporting Standards (IFRS), as approved by the European Union. Aqurat Fondkommission acts as Certified Adviser, contact number: +46-8-684 05 800.
The Share
Ticker: KOPY http://www.nasdaqomxnordic.com/shares/microsite?Instrument=SSE77457
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