Alacer Gold to sell Australian assets

13th June 2013 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Dual-listed gold miner Alacer Gold on Thursday announced that it would sell its Australian assets, including its Higginsville and South Kalgoorlie operations, in Western Australia.

“Alacer has recently received confidential, nonbinding expressions of interest from several parties interested in purchasing its Australian assets,” president and CEO David Quinlivan said.

The sale of the Australian assets would enable the company to focus on its high-margin operation and exploration activities at its world-class Copler mine, in Turkey, he added.

The Higginsville operation consists of an underground and openpit operation, and has a proven and probable reserve of some 6.9-million tonnes, grading 3.7 g/t gold for 830 000 oz, and a measured and indicated resource of 11.6-million tonnes, at 3.4 g/t gold for 1.26-million ounces.

During 2012, the operation produced some 136 687 oz of gold.

South Kalgoorlie, in turn, has a proven and probable reserve of 13.9-million tonnes, at 1.5 g/t gold for 640 000 oz of gold, and a measured and indicated resource of 50-million tonnes, at 2.1 g/t gold for 3.3-million ounces.

The opencut operation delivered some 40 406 oz of gold during 2012.

Quinlivan said the timing and the outcome of any sale was uncertain, but noted that the company was focused on creating shareholder value and maximising its portfolio value and free cash flow, while minimising project risk.