News

April 22, 2008

Eurasia Mining Earns Itself A Shot Of Stolichnaya Or Two, As It Works The Russian System

By Our Man In The City

“You don’t want to be a hero in Russia and over-promote the business while you’re still in exploration”, says Christian Schaffalitzky, chief executive of Eurasia Mining. “Russia is a special place and you can do business if you abide by the rules, which can mean keeping your head down.” The junior explorer continues to adopt its low-key strategy of exploring for platinum and gold in Russia. This may restrain its share price and market valuation, which continues to rest underneath £10 million, but Eurasia’s investors shouldn’t be sitting uncomfortably. The business has announced some significant developments in the past few weeks that deserve a toast of Stolichnaya.

Anglo Platinum is farming its way into Eurasia’s platinum projects by funding the first US$10 million of exploration in return for a 40 per cent stake in a joint venture company. Effectively, Anglo is using Eurasia as its entry point into Russia. So far, it has spent $5.2 million, according to Mr Schaffalitzky, who says Anglo will reach the $10 million mark by the second quarter of 2009. Anglo has now agreed a minimum US$6 million exploration budget for 2008, two thirds of which will be spent...