Tarutinskoe

History

2023: Polymetal sold the company for $7 million

In mid-March 2023, it became known that Polymetal, Russia's largest silver producer and one of the leading gold miners, sold Tarutinskoye, an operator of the East Tarutinsky copper-gold ore show in Kazakhstan. The transaction amount amounted to $7 million.

According to Interfax, Mikheevsky GOK, one of the structures of the Russian Copper Company (RMK), became the new owner of the enterprise. The loss from the disposal of the asset in Polymetal was estimated at $2 million. It is said that earlier East Tarutinskoye belonged to RMK, but in 2018 Polymetal and RMK exchanged assets. As a result of this procedure, RMK received the Tarutinskoye field, and Polymetal received the East Tarutinskoye field, located on the same Kazakh side of the border as its Varvarinskaya factory.

Mikheevsky GOK became the new owner of the enterprise

Polymetal's financial report, published on March 16, 2023, notes that in 2022 the company faced "unforeseen unprecedented external challenges." Sanctions against Russia had a significant impact on inflation, supply chains and sales channels, as a result of which the volume of costs and working capital increased significantly - this led to a sharp reduction in Polymetal cash flow.

Polymetal's revenue for 2022 decreased by 3% to $2.8 billion. At the same time, $933 million (33%) fell on divisions in Kazakhstan and $1.87 billion (67%) - on business in Russia. Net profit decreased to $440 million against $913 million in 2021. Production in 2022 increased by 2% compared to the previous year and amounted to 1712 thousand ounces of gold equivalent. Gold sales decreased by 1% year-on-year to 1376 thousand ounces, and silver sales increased by 6%, reaching 18.5 million ounces. Average gold and silver sales prices decreased by 2% and 12%, respectively.^[1][2]

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