Eurasia Mining PLC announced beginning of production of platinum from the West Kytlim project in Russia this year.
Eurasia shares were up 13% to 0.580 pence per share on Wednesday morning.
The company has secured all necessary approvals and received a production licence for the project in the latter half of 2015, and the company said preparatory work has progressed with production still on track to begin in 2016.
The company was not more specific when production from the project would start this year.
“Notwithstanding the pressures evident in the mineral exploration and development sector, we consider that the West Kytlim project is a low capital cost and high margin Platinum production opportunity,” said Eurasia.
The project will produce alluvial platinum, which will be gathered from river sands, washed and sent as a bagged black sand to a local refinery for Platinum smelting. Eurasia said this will enable the project to generate revenue as soon as production begins, which will “dramatically transform Eurasia Mining operationally and financially.”
“Shareholders should expect a series of further updates in the coming weeks and months as we put into action the plan to bring the company into production,” said Managing Director Christian Schaffalitzky, writes lse.co.uk