MOSCOW, July 20 (RIA Novosti) - Russia's largest gold mining company, Polyus Gold, does not rule out forming an alliance with a major global gold miner, the CEO of one of the company's major shareholders said on Monday.
"I believe that Polyus has already formed a considerable raw material and production base and is unlikely to engage in the takeover of other companies in the near future. But, strategically, we are set to turn Polyus into a world-class gold mining company," Dmitry Razumov, CEO of Onexim investment company, said in an interview with the Kommersant business daily.
Razumov said that Polyus Gold, which employs over 12,500 people and produced 38 metric tons (1.2 million ounces) of gold in 2008, intended to pursue strategic alliance plans in 2009-2010.
Russian billionaires Mikhail Prokhorov and Suleiman Kerimov are the main owners of Polyus Gold, holding 29.9% and 36.9% of the company's stock, respectively.
Headquartered in Moscow, Polyus Gold's operating mines and development and exploration projects are located in five major gold mining regions in Russia - the Krasnoyarsk Territory, the Irkutsk Region (both in East Siberia), the Far Eastern Magadan and Amur Regions and the Republic of Sakha (Yakutia) in northeast Russia.
Prokhorov, who is also chairman of the Polyus Gold board of directors, announced on Sunday the company expected to conclude its acquisition of a Kazakh gold producer in September.
Kazakhstan's government approved the Russian company's purchase of a controlling stake in KazakhGold last year.
KazakhGold is controlled by board chairman Kanat Asaubayev and his family.
Polyus Gold announced plans to buy a 50.1% stake in KazakhGold last September, but by the end of the year the Kazakh company had lost 80% of its value. In September, the Russian company valued the deal at $746 million, and had planned to pay $236 million in cash ($7.95 per share), along with a 4.2% stake in Polyus.
In mid-June, the sides agreed that Polyus subsidiary Jenington International Inc would pay $269 million for a 50.1% stake.
