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Egor Borisov meets with Silver Bear Resources

21 Jul 2017 9:29 AM | Anonymous
July 18, 2017 - Published in Business & investments

On July 17, the head of Yakutia, Egor Borisov, met with Silver Bear Resources Inc. Management. The parties discussed the implementation of an investment project to develop a silver deposit in the Mangazeya ore field in Kobiai ulus.


Silver Bear Resources International Company is engaged in attracting investments on the world markets for the development of the Mangazeya silver deposit in the territory of Yakutia. Chairman of the Board of Directors of Silver Bear Resources, former Ambassador of Canada to Russia, Christopher Westdal said that in the face of the difficult political and economic environment, the sanctions regimes, Silver Bear Resources can serve as an excellent example of cooperation between Russia and Canada.

The Company managed to attract 80% of the project financing ($ 65 million), which is necessary to start the activity in the region. In 2003, JSC Prognoz was registered in Yakutsk for direct work at the Vertikalnoye field with an area of 550 square kilometers located in Kobiai ulus.

As President and CEO of Silver Bear Resources, Graham Hill, said, further areas will be developed: North Mangazeya and South MangazeyaNizhny Endybal and others. In October 2016, according to Russian and international standards, the resources of the Sterzhnevy and Porfirovy deposits were assessed.

The Company felt that the cost of producing an ounce of silver would be $ 7.49, while the market price is $ 16. There are forecasts that the price of silver will rise. Today the Company sets the task of completing the design of the mining and processing complex of Vertikalnoye, attracting investments for the construction and launch of the project. The Company intends to receive the first silver in the first quarter of 2018.

Egor Borisov informed that several large companies, including multinational companies, are currently carrying out industrial activities on the territory of the republic. "We are ready to interact with any investor working in full compliance with regional and federal legislation. The Republic is interested in a stable taxpayer providing a profitable part of our budget," he said.

Graham Hill noted the multiplicative effect of silver mining on the Mangazeya ore field. In addition to raising the investment attractiveness of Yakutia, the receipt of taxes, small and medium-sized businesses will develop, local people will be employed. Hill emphasized that the Company's work will be built in compliance with all environmental standards and ensuring social responsibility. In 2016, an agreement on social and economic cooperation between the government of the republic and JSC Prognoz was signed. Within the framework of the agreement, measures are taken to ensure transport accessibility; proposals are being made to improve the roadbed of the Sebyan auto road with a view to its transfer to the register of winter roads of extended action. Also, the possibility of improving the quality of communication and the Internet in Kobiai ulus is being studied.

The head of Yakutia pointed to the need to implement the norms of the republican law on ethnological expertise, as industrial activity will be conducted in the territory of compact residence of indigenous peoples of the North - the Evens. Egor Borisov welcomed the intentions of the partners to primarily employ local people. Today, JSC Prognoz employs 85 people, and by the launch of the mining-processing complex, the number of employees will be 200 people. Today the Company employs 20 people from the village of Sebyan-Kyol.

Taking into account the diplomatic experience of Christopher Westdal, Chairman of the Board of Directors of Silver Bear Resources, who in 2003-2006 was the Ambassador Extraordinary and Plenipotentiary of Canada to Russia, Il Darkhan asked to assist in the transfer of the remaining 30 bison from Canada to Yakutia. First buffalo was brought from Canada in 2006 in order to preserve their gene pool. Unfortunately, due to the introduction of sanctions, the last stage of the transfer of animals to our country was thwarted. Today in the territory of Yakutia there are 200 head of bison: in Ust-Buotama there are 36 heads of breeding stock of Canadian wood bison, in Tyympynai of Gorny ulus - 174 bison. This year it is planned to release bison to free grazing into the natural habitat as an experiment. Christopher Westdal, born in the Canadian province of Manitoba, the coat of arms of which is painted with a bison, agreed to do everything in his power to implement the project to save the gene pool of Canadian wood bison.