Russia To Sell Gold

By Polina Devitt

Russia plans to sell as much as 50 tonnes of gold this year to help plug a budget deficit in the first major bullion sale by its precious metals repository since the fall of the Soviet Union, a high level source told Reuters.

The sales from Russia’s State Precious Metals and Gems Repository (Gokhran) could account for 0.5 to 1.25 percent of global consumption of the metal, which soared in price to a record of $1,070.40 per ounce on Oct.14.

“More than 20 tonnes, but less than 50 tonnes of gold will be supplied this year,” the source familiar with the matter said on Friday, adding that the sale was intended to increase state budget revenues.

The source said the sale would be the first major gold sale by Gokhran since the 1991 fall of the Soviet Union, which kept a veil of secrecy over its sometimes significant foreign sales of gems and precious metals.

Continue reading Russia To Sell 20-50 T Gold In 2009