Closed Joint-Stock Society Silver Territory has mined the first tons of silver at Lunnoye deposit.
The whole spectrum of operations, including construction of industrial and subsidiary sites has been performed by Closed Joint- Stock Society Silver Territory, which is a part of Polymetal Inter-Regional Research and Production Association in Saint Petersburg.
The mine and mill complex began to process ore in December 1999, and is currently operating in a start-up regime. After this stage, and upon completion of the technical regulations, the complex will enter full operation. By mid 2002, the enterprise will have a projected annual processing capacity of 300,000 tons of gold and silver containing ore. The complex is expected to mine about 130 tons of silver and 1 ton of gold annually.
Results of the prospecting and exploration surveys, conducted 1992-1996 at Lunnoye deposit show that the existing mineral reserves will make it possible to mine more than 13 tons of gold and approximately 3,000 tons of silver within the deposit"s service period. Lunnoye gold and silver deposit is located on the border of Omsukchansky and Srednekansky districts of Magadan region in the mountain-taiga zone of North-Eastern Russia, in the Northern part of the Omsukchansky mountain range. In 1986, the Ducat expedition established its planned prospecting survey at the site and within a year, an ore zone containing 80% of the deposit"s reserves was discovered. At the end of 1999, Polymetal proceeded with the implementation of the project of Lunnoye development.
source: Polymetal press release, 23.01.2002