PERTH (miningweekly.com) – Gold miner St Barbara this week completed the sale of its defunct Gold Ridge project, and five subsidiaries, to Solomon Islands company Goldridge Community Investment.
St Barbara at the beginning of May agreed to sell the Gold Ridge mine for an undisclosed amount.
As part of the sales agreement, St Barbara would fund the manufacture, delivery and installation of a water treatment plant, which would cost some A$1-million.
MD and CEO Bob Vassie said on Thursday that the sale of the asset and the five subsidiaries would result in a noncash profit for the group, for the year ended June.
“The sale of the Gold Ridge mine to a locally owned company with strong landowner representation provides a fresh and realistic opportunity to successfully manage the critical security, local resourcing and environmental issues that Gold Ridge must resolve in the near term,” Vassie said.
Operations at the Gold Ridge mine were suspended in April last year, owing to torrential rainfall and ensuing flooding. To date, St Barbara had been unable to resume production from the mine site owing to a number of reasons, including the presence of illegal miners at the site and infrastructure damage.