Polymetal enters into JV with Russia's Rosgeo

Polymetal has announced a joint venture with geological exploration firm Rosgeo to carry out exploration in the Republic of Bashkortostan in Russia.

The joint venture will be focused on exploration at the Novopetrovskaya property in the south of the Republic of Bashkortostan, to discover pyritic copper-zinc mineralisation.

Polymetal chief executive officer Vitaly Nesis said: "We continue to leverage our exploration strategy through joint ventures with dedicated and experienced professionals. Rosgeo is a recognised Russian leader in greenfield exploration, whose previous prospecting works at Novopetrovskaya proved its further exploration potential.

"This partnership reinforces our presence in the promising Urals region."

Under the agreement, Polymetal has bought a 75% stake in the wholly-owned subsidiary of Rosgeo, which owns the license for the Novopetrovskaya area, for 490m Russian roubles (£5.1m). The London-listed precious metals miner has also been granted a seven-year call option to acquire the remaining 25% stake.