Polyus Int board chairman joins Canadian Richmont board of directors as vice chairman
MONTREAL. Jan 11 (Interfax) - Chairman of the board of directors of Jersey-based Polyus Gold International Ltd (holding company of Russian OJSC Polyus Gold ) Bob Buchan has joined Canadian gold producer Richmont Mines Inc's board of directions as its vice chairman, Richmont said in a press release.
Buchan has also presented the Canadian company with CAN$10 million ($9.8 million), which will bear a 7.6% annual interest rate and will be convertible into Richmont common shares at a conversion price of CAN$12.17 per common share, the press release said.
Richmont develops gold sites in Quebec, Ontario and Newfoundland. The company currently operates two enterprises and is moving its third toward commercial production, which should increase Richmont's production to approximately 100,000 ounces (3.11 tonnes) of gold on an annual basis.
Buchan founded the Canadian Kinross Gold Company and headed it from 1993 to 2004. In the summer of 2011, he became an independent director on Polyus Int's (KazakhGold at that time) board of directors, replacing Polyus top manager Evgeny Ivanov in the position.
After a reverse takeover (RTO) deal in 2011, Polyus Int (formerly KazakhGold) gained control of Polyus Gold, Russia's largest gold producer, developing ore and alluvial deposits in the Krasnoyarsk Territory and the Irkutsk, Magadan and Amur regions in the Republic of Sakha (Yakutia), as well as Kazakh and Romanian assets earlier owned by KazakhGold. Polyus Int produced 1.1 million oz (34.2 tonnes) of gold in January-September 2011, and the guidance for the year as a whole was set at 1.4-1.5 million oz.