KazakhGold confirms to be in talks on sale of controlling stake

/INTERFAX, London, September 26, 08/ - KazakhGold confirms to be in the negotiations for the sale of a controlling stake. "The company actually received the offer for sale of 50.1 % of the company shares", - as stated in the KazakhGold`s message. The offer that KazakhGold has received specifies company share purchase for cash and securities. Earlier, a source, close to "Polyus Gold" shareholders, informed Interfax that the company's Board of directors at the meeting on September 30 examined the issue of buying 50 %+1 shares of KazakhGold for cash and shares of "Polyus Gold". The buyer will be one of the companies of "Polyus" group. "Polyus Gold" refused to comment. As informed, the Board will also discuss offers of the Management on activities due to critics of the Russian president on activity of gold producing enterprises. Besides, a source close to shareholders of "Polyus" informed that buyback question will be also discussed on the meeting. In 2007 KazakhGold increased gold production by 6.4 % - to 232.06 th. troy ounces. At the end of 2005 KazakhGold conducted IPO in London. GDR KazakhGold is traded on London Stock Exchange, where one GDR is one share. [2008-09-29]