CJSC Mnogovershinnoye wins rights to western flank of Mnogovershinnoye deposit
KHABAROVSK. Dec 6 (Interfax) - CJSC Mnogovershinnoye on Thursday won the auction for the rights to explore and mine gold at the western flank of the Mnogovershinnoye deposit in Khabarovsk Territory.
The other bidder in the auction was Nizhne-Amurskaya Mining and Geological Company, the regional natural resources department for the Far East Federal District told Interfax.
The starting price was 7.9 million rubles and the bidding increment was 10%. "There was one bidding increment in the course of the auction," a department spokesman said.
It was reported earlier that the western flank of the deposit has P1 category inferred resources estimated at 3.5 tonnes.
The Mnogovershinnoye deposit is the core asset of UK-listed Highland Gold Mining. The company has said that it is conducting additional exploration at the deposit to identify potential resources.
Gold production at Mnogovershinnoye amounted to 68,751 ounces in the first half of 2012, with 611,000 tonnes of ore processed, up from 499,000 tonnes a year earlier as the grade fell to 4 g Au per tonne from 5.2 g.
