The Supervisory Board of ALROSA in its meeting on March 21 recognized the advisability of increasing the Company’s stake in the share capital of PJSC Alrosa Nyurba by purchasing the 10% stake currently owned by the Republic of Sakha (Yakutiya).

The move is a part of ALROSA’s plan to consolidate its core upstream assets, the Company stated. PJSC Alrosa-Nyurba, was founded in 1997 for development of the Nyurbin and Botuobin fields in Yakutiya. Last year, the Nyurba fields produced 7.7 mln carats of rough diamonds or 19 per cent of total production volume of ALROSA Group.

ALROSA already has 87.48 per cent share of Alrosa Nyurba, while 10 per cent belongs to the JSC RIK-Plus owned by the Republic of Sakha (Yakutiya). The rest 2.523 per cent of shares are owned by minority shareholders.

The 10% stake owned by JSC RIK-Plus has been listed in the recent plan forecast of the Republic of Sakha (Yakutia) related to privatization of state property,.

CEO of ALROSA Sergey Ivanov said, “Currently, ALROSA is holding negotiations with the management of the Republic of Sakha (Yakutia) on the opportunity of purchase of 10 per cent share of PJSC Alrosa Nyurba”. We consider buyout of the stake in the company as a logical step on the way to consolidation of core upstream assets in the accounts of ALROSA and it will make positive impact on the company’s operational efficiency and investment attractiveness. We are planning to close the deal in the first half-year of 2018.”