Petropavlovsk goes for gold as production increases by a third

RUSSIAN precious metal miner Petropavlovsk yesterday posted gold production of 219,400 ounces over the third quarter, up 39 per cent year on year.

Over the nine months to 16 October, gold production was up 11 per cent to 498,500 ounces.

The FTSE 250 miner said yesterday it was on track to achieve its full-year production target of at least 700,000 ounces of gold.

Last year, the miner produced 630,100 ounces of the yellow metal.

It added that over the period, it identified new resources at the Malomir and Pokrovskiy operations and its flagship Pioneer mine in Russia.

Pioneer, located in the Russian Far East, produced 80,800 ounces over the three months to 16 October, which was lower than last year due to the scheduled processing of lower grades.

Peter Hambro, chairman of Petropavlovsk, said that the group had identified further “promising targets” for gold exploration, which will be looked at in 2013.

Shares closed up 3.1 per cent.