Although further geotechnical work to investigate the use of lower cost mining methods is planned, the development of a 1.2 million tons per annum (mtpa) underground gold mine and process plant based on current reserves at the Severny and Centralny ore deposits is technically and commercially feasible, the company said.

Oxus also said it expects to commission the plant by the third quarter of 2009 with a production level of 750,000 tonnes per annum, increasing to 1.2 mtpa by mid 2010. The company said 200,000 ounces of gold will be produced in 2010 and 270,000 oz in 2011, Thomson Financial reported.