Auric Mining to Expand Portfolio with Strategic Mill Acquisition
Auric Mining (ASX:AWJ) is accelerating its push to become a fully integrated gold producer.
On Monday (August 25), the company locked in a AU$4.4 million purchase of the Burbanks mill, located 15 kilometres south of Coolgardie and near its Munda gold project. Idle since 2019, the facility comes equipped with crushing, grinding and carbon-in-leach infrastructure, giving Auric a clear path toward in-house processing.
“A major missing piece for us has always been a mill … We are delighted to now be on a clear path to purchasing this facility, which we expect to be an important piece of our longer-term future,” said Managing Director Mark English.
He added that following further work completion, the mill will help Auric increase operational flexibility, reduce reliance on third-party mill arrangements and maximise benefits from future mining operations.
A day after the Burbanks mill update, Auric said it has completed due diligence for its acquisition of the Lindsay's gold project, a transaction first announced in February. Located 50 kilometres northeast of Kalgoorlie, Western Australia, Lindsay’s covers 33 square kilometres and includes eight tenements and three granted mining leases.
According to the company, only 25 percent of planned ore was extracted from Lindsay's during its initial run, with operations halting in 2013 after the gold price dropped to AU$1,295 per ounce.
The last recorded mine grade was 1.93 grams per tonne gold, while production was 6,153 ounces.
Lindsay's includes the Parrot Feathers gold deposit, and the current owners are private companies Top Global Mining and NBC Mining. Auric intends to commence mining from Parrot Feathers in 2025.
Auric and vendor executives met on Monday to plan a forfeiture strategy for the key mining lease, with a Wardens Court hearing rescheduled from August 22 to September 5.
For the Burbanks mill purchase, settlement and completion are expected sometime in September.
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Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
