PERTH (miningweekly.com) – Gold miner Evolution Mining has completed the acquisition of the Cowal gold mine, in New South Wales.
The miner announced on Friday that all the conditions precedent to the $550-million buy-out had now been satisfied or waived by vendor Barrick Gold.
Evolution in May announced that it would buy the mine from Barrick, as the Canadian firm moved to reduce its debt.
“The addition of Cowal to our asset portfolio is an exciting step forward for Evolution and provides us with a cornerstone asset of the highest quality. We welcome our new Cowal employees and look forward to building a long and successful relationship with the communities of the Bland, Lachlan and Forbes Shires,” said Evolution chairperson Jake Klein.
As of the end of December, the Cowal mine had a mineral resource of 94.5-million tonnes, grading 1.1 g/t gold for 3.4-million ounces, and an ore reserve of 41.5-million tonnes, grading 1.2 g/t gold for 1.6-million ounces.
The process plant, which had a capacity of 7.7-million tonnes a year, currently had an operating permit to run at 7.5-million tonnes a year.
Following the completion of the transaction, Evolution would produce between 630 000 oz/y and 700 000 oz/y, which would increase to between 760 000 oz/y and 860 000 oz/y, post completion of the proposed La Mancha Australia acquisition.