RUSSIA – Toronto’s HIGH RIVER GOLD MINES has signed an agreement to borrow a US$32 million financing package towards development of its Berezitovy gold project in southern Siberia. The funds will be made available by the European Bank for Reconstruction and Development. Total cost of the project is estimated to be US$50 million.
High River owns 99% of the project, scheduled to begin production in early 2006. The open pit and processing plant will have an annual output of 100,000 oz Au over nine years. Average total cash cost is expected to be US$200/oz. The plant formerly known as Newmont’s Mill 4 in Nevada is being moved to Siberia and reassembled. The Berezitovy property has estimated total reserves of 15.16 million tonnes grading 2.21 g/t Au, or 1.08 million oz Au.
Visit www.hrg.ca for detailed information and illustrations of the Berezitovy project, the Taparko development in West Africa, and High River’s two producing gold mines.