LONDON (Alliance News) - Eurasia Mining PLC on Wednesday said it has now been granted a mining licence for the West Kytlim project in Russia, in a statement released after its shares were suspended following a sharp rise in early trade.
Eurasia Mining shares were suspended mid-morning after rising 46% to 1.8299 pence, the best performer in the AIM All-Share. In a later statement Wednesday, Eurasia said its shares had resumed trading following the announcement.
Eurasia shares were up 60% to 2.00 pence per share on Wednesday afternoon after its shares were restored to the AIM market, but pared back to 1.6%, or a 28% rise, soon after.
The company confirmed earlier Wednesday that it has been awarded the West Kytlim mining licence by Russia's Ministry of Natural Resources.
Later Wednesday, Eurasia said the licence was awarded to its subsidiary ZAO Kosvinsky Kamen, on the basis of first discovery and includes the rights for extraction of platinum and gold. Eurasia will pay around GBP24,000 in a one-off payment to the government for the license. The formal licence will be registered in late August or early September.
"Today is a great day for Eurasia and our shareholders. We have worked long and hard to achieve this result and we are grateful to the Russian government for efficiently processing the licence application," said Managing director Christian Schaffalitzky.
"The next stage is to complete our detailed development plan for West Kytlim, a summary of which is to be submitted to the government once the formal licence documentation is issued," he added.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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Eurasia Mining (EUA)