St Barbara is intending to focus more on its Simberi gold mine in PNG, planning to separate its Atlantic gold operations from the company.
The Atlantic gold operations consist of the 15-Mile, Beaver Dam, and Cochrane Hill projects in Nova Scotia, Canada. Managing director and chief executive officer Andrew Strelein said the separation would allow the company to dedicate its resources to PNG.
“The decision to separate Atlantic from St Barbara is underpinned by the opportunity to unlock the full value potential of the Atlantic projects under a Canadian listed company with a local leadership team, to focus on delivering upcoming project milestones and benefit from being closer to regulators and key stakeholders,” he said.
Strelein said the company is still considering its options for how the separation of Atlantic will play out, including by way of sale, vend-in or demerger.
“Atlantic is a highly attractive and financially robust project and has the potential to be in production within 12 months from permitting approval,” he said.
“The separation of Atlantic enables St Barbara to focus solely on the Simberi sulphide expansion project.”
The Atlantic operations have 1.4 million ounces (Moz) of gold in ore reserves and 2Moz in mineral resources, with significant potential due to production-ready infrastructure and exploration opportunities.
Subscribe to PNG Mining and receive the latest news on product announcements, industry developments, commodities and more.
