Kazakhstan: Significant Gold Producer to Build $978 Million Plant

The board of directors of Solidcore Resources plc (formerly Polymetal group) approved the decision to build the Irtysh hydrometallurgical plant in the Pavlodar region, Orda.kz reports.

The project will cost $978 million.

Solidcore's official statement specifies that the Irtysh POX will become "Central Asia’s first hub for large-scale high-tech refractory concentrate processing."

The company said the project will bring significant economic and social benefits to Kazakhstan.

With Board approval, all-level government support and Solidcore’s highly experienced project team we are confident in our ability to complete this transformational project successfully,  said Vitaly Nesis, Group CEO of Solidcore Resources plc.

The company emphasized that Irtysh POX will eliminate dependence on third-party contractors and increase production capacity. 

The new plant will create about 500 permanent jobs and about a thousand temporary ones for the construction period. Solidcore assures that the project will have a minimal impact on the environment.

The plant is expected to process 300,000 tons of concentrate annually with a metal extraction rate of 93-94%. 

$112 million has already been invested in the project for 2023-2024. The initial plan assumed that the enterprise would cost the company $800 million, but these figures were revised due to the rise in prices for construction materials, equipment, and other expenses.

Irtysh POX will be located in a special economic zone in the Pavlodar region.

The main engineering works are planned to be completed in the first half of 2025, full-scale construction will be launched in the second half of 2025, and Solidcore plans to commission the plant in the second half of 2028.

Solidcore Resources is the new name of the Polymetal group, the second-largest gold producer in Kazakhstan by production volume.

The company is registered in the AIFC and has two production hubs in Kazakhstan: Kyzyl (Bakyrchik deposit, Abay region) and Varvara hub (Qostanay region). Previously, Polymetal's main assets were located in Russia, but in March, the group closed a deal to sell them.

Original Author: Nikita Drobny