REG-Polymetal International plc Polymetal: New exploration JV in Taymyr

Polymetal International PKAnnouncement

01/12/2020 07:05

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   Polymetal International plc (POLY)
   Polymetal: New exploration JV in Taymyr

   01-Dec-2020 / 10:00 MSK
   Dissemination of a Regulatory Announcement, transmitted by EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   Release IMMEDIATE                                                       
   time    LSE, MOEX, AIX: POLY / ADR: AUCOY
   Date    1 December 2020

    

    

   Polymetal International plc

   New exploration JV in Taymyr

   Polymetal announces an initial investment  of US$ 0.5 million in  exchange
   for a 35% stake in  a joint venture with  a junior holding an  exploration
   license for the Pekinskaya area, Taimyr Peninsula, Russia (Pekinskaya JV),
   which adjoins the existing Taimyr JV.

   "Through this new joint  venture Polymetal has  expanded its footprint  in
   the highly  prospective Taimyr  region with  the potential  to discover  a
   significant copper-gold porphyry mineralisation", said Vitaly Nesis, Group
   CEO of Polymetal. "We continue to  be committed to further development  of
   our exploration portfolio through partnerships with juniors in the regions
   of our presence".

   TRANSACTION HIGHLIGHTS

     • Polymetal may acquire  up to a  70% interest in  the Pekinskaya JV  by
       funding RUB 173  million in  cash (approximately US$  2.3 million)  of
       exploration expenditures  in three  stages aligned  with the  relevant
       field seasons:

          ◦ Stage 1 (completed) - an initial acquisition of 35% stake in the
            JV through a RUB 40 million (approx. US$ 0.5 million) cash
            investment in newly issued share capital.
          ◦ Stage 2 - increase stake up to 63% ownership for further
            investment of RUB 85 million (approx. US$ 1.1 million) in newly
            issued share capital by March 2021 following the first field
            season results assessment.
          ◦ Stage 3 - increase stake up to 70% ownership for further
            investment of RUB 48 million (approx. US$ 0.6 million) in newly
            issued share capital by March 2022 following the second field
            season results assessment.

     • Polymetal may also provide loans to  the JV to fund extra  exploration
       costs at stages 2  and 3, and finance  three additional field  seasons
       post 2022.
     • Polymetal has been granted a  call option exercisable in 2023-2026  to
       acquire the  remaining interest  in  the JV  following  JORC-compliant
       Mineral Resource estimate.
     • Pekinskaya exploration license covers an  area of 97 sq. km.  Together
       with the contiguous Taimyr JV they represent an area of 359 sq. km.

   About Polymetal 

   Polymetal International plc (together with its subsidiaries - "Polymetal",
   the "Company", or the "Group") is a top-10 global gold producer and  top-5
   global silver producer with assets  in Russia and Kazakhstan. The  Company
   combines strong growth with a robust dividend yield.

   Enquiries

       Media                          Investor Relations
                                  Polymetal
                                              1 ir@polymetalinternational.com
   FTI Consulting                 Evgeny
                          +44 20  Monakhov   +44 20 7887 1475 (UK)
   Leonid Fink            3727
                          1000    Timofey     
   Viktor Pomichal                Kulakov
                                             +7 812 334 3666 (Russia)
                                  Kirill
                                  Kuznetsov
       Joint Corporate Brokers         
                          +44 20
                          7425
   Morgan Stanley & Co.   8000
   International plc
                           
   Andrew Foster
                                  RBC Europe
   Richard Brown                  Limited
                           
                                  Marcus     +44 20 7653 4000
                                  Jackson
   Panmure Gordon
                                  Jamil Miah
   Daniel Norman
                           
   John Prior
                          +44 20
                          7886
                          2500

   Forward-looking statements

   This release may  include statements  that are, or  may be  deemed to  be,
   "forward-looking statements". These forward-looking statements speak  only
   as at the date  of this release. These  forward-looking statements can  be
   identified by the use of forward-looking terminology, including the  words
   "targets",  "believes",  "expects",  "aims",  "intends",  "will",   "may",
   "anticipates", "would", "could" or "should" or similar expressions or,  in
   each  case  their  negative  or  other  variations  or  by  discussion  of
   strategies, plans, objectives, goals,  future events or intentions.  These
   forward-looking statements  all include  matters that  are not  historical
   facts. By their nature, such forward-looking statements involve known  and
   unknown risks,  uncertainties  and  other  important  factors  beyond  the
   company's control  that could  cause the  actual results,  performance  or
   achievements of  the  company  to  be  materially  different  from  future
   results,  performance  or  achievements  expressed  or  implied  by   such
   forward-looking statements. Such forward-looking  statements are based  on
   numerous assumptions regarding the  company's present and future  business
   strategies and the environment  in which the company  will operate in  the
   future.  Forward-looking   statements  are   not  guarantees   of   future
   performance. There are many factors that could cause the company's  actual
   results, performance  or  achievements  to differ  materially  from  those
   expressed  in  such  forward-looking  statements.  The  company  expressly
   disclaims any  obligation or  undertaking to  disseminate any  updates  or
   revisions to any  forward-looking statements contained  herein to  reflect
   any change in the company's expectations with regard thereto or any change
   in events, conditions or  circumstances on which  any such statements  are
   based.

    

    

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   ISIN:          JE00B6T5S470
   Category Code: MSCM
   TIDM:          POLY
   LEI Code:      213800JKJ5HJWYS4GR61
   Sequence No.:  88781
   EQS News ID:   1151606


    
   End of Announcement EQS News Service

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References

   Visible links
   1. mailto:ir@polymetalinternational.com


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