Russian gold output for the first ten months of the year has risen to 171.2 tonnes from 152.5 tonnes for the same period a year ago. The increase was led by Kinross Gold and Petropavlovsk (formerly Peter Hambro Mining)
Posted: Friday , 27 Nov 2009MOSCOW (Reuters) -
Russian gold production rose 12.2 percent year-on-year in the first 10 months of 2009, mainly due to the launch of large projects in its far east, the Russian Gold Industrialists' Union said on Friday.
The union, which is the main industry lobby, said in a statement gold output by the world's No. 5 miner of the precious metal totalled 171.2 tonnes in January-October compared with 152.5 tonnes in the same period a year ago.
October gold output from mines and placers declined by nearly 4.17 tonnes from the same month a year ago, but a rise of volumes refined as a by-product of other metals cut the total decline to 1.87 tonnes.
Output of placers declined by 1.2 tonnes in the first 10 months of this year, the union said without providing mines and placers output breakdown.
Output of gold produced as a by-product of other metals rose 28.8 percent to 12.94 tonnes in the first nine months of this year and output achieved by refining gold from scrap rose 3 percent to 6.15 tonnes.
Russia produced about 8 percent of the world's gold last year and plans to significantly increase this share by developing its reserves that are second only to South Africa's.
It aims to produce 205 tonnes of gold this year, up 11.1 percent year-on-year.
The union attributed the latest increase to the launch of production at Kinross Gold's (K.TO: Quote) Kupol mine in the remote Chukotka region, as well as the Karalveyem mine in the same region.
Petropavlovsk's (POG.L: Quote) Pioneer project and High River Gold's HLGC.TO Berezitovy mine in Amur region and the Aginskoye project, run by Kamgold on the far eastern peninsula of Kamchatka, also contributed to the rise, the Union said.
The biggest producing region in January-October was Krasnoyarsk, where Russia's top producer Polyus Gold (PLZL.MM: Quote) operates the Olympiada mine.
Chukotka, a region governed until last year by billionaire Roman Abramovich, was the second and the far eastern regions of Amur, Yakutia and Irkutsk were third, fourth and fifth respectively in terms of production, the union said. (Reporting by Aleksandras Budrys)
© Thomson Reuters 2009. All rights reserved.
