Polymetal in consortium with Highland Gold may become investor in refining plant in Khabarovsk Territory

MOSCOW. Aug 20 (Interfax) - Polymetal in a consortium with Highland Gold may become an investor in a refining plant in Khabarovsk Territory, the region's Natural Resources Minister Alexander Leontyev said at the Alluvial Gold of Russia forum.

"For the implementation of this project, these companies have their own resource base and the necessary competencies," Leontyev was quoted as saying by the publication Gold and Technology.

"On July 21, a meeting of the working group was held under the deputy chairman of the government of Khabarovsk Territory on the construction of the plant. The investor was instructed to work out options for acquiring refining equipment and to develop a preliminary consolidated financial and economic feasibility study of the project. This instruction is in progress until August 25," Gold and Technology quoted Leontyev as saying.

"We confirm interest in the project in cooperation with another industry investor. We refrain from further comments for now," Polymetal told Interfax. Representatives of Highland Gold declined to comment.

For the construction of the refining plant, three sites are being considered - in Nikolayevsk-on-Amur, Khabarovsk and Amursk, with preference leaning towards Amursk, Leontyev said.

Investment in the refining plant project is estimated at 20 billion rubles, the Far East and Arctic Development Corporation (FEDC) said. The FEDC was represented during the forum. The planned production capacity is 50 tonnes of refined gold and 100 tonnes of refined silver per year.

According to the FEDC, 211 tonnes of gold were mined in the Far East in 2024 (64% of Russia's total), while the region has no refining plant of its own. The construction of a refining facility in Khabarovsk Territory will reduce the logistics distance for Far Eastern gold miners between 33.4% and 87.5%.