Nordgold's 2011 investment program comes to $304 mln
MOSCOW. May 18 (Interfax) - OJSC Severstal's gold production division, Nordgold N.V., plans to expand its investment program for this year to $304 million in comparison with the program for 2010, the company said in a presentation.
A total of $129 million from this amount will go to geological survey operations.
The company also confirmed its gold production forecast for this year at up to 840,000 ounces.
The average production cost per ounce of gold came to $603 in the first quarter (down 5% year-on-year).
The company's net profit for the first quarter came to $95.6 million.
Nordgold closed the quarter with $244 million in sales revenue. In addition, Nordgold's EBITDA came to $135 million while the EBITDA margin reached 55.3%
Severstal has steel, coal, iron ore and gold assets in Russia, North America, Europe and Ukraine. It holds licenses to brownfield and greenfield iron ore projects in Karelia and Krasnoyarsk in Russia, and in Liberia, Congo and Gabon.
Severstal's main beneficiary is its general director, Alexei Mordashov, with more than 82% of shares. About 17.1% are in free float.
