Auric Mining (ASX:AWJ) has finalised its $4.4 million acquisition of the Burbanks gold processing facility in Western Australia, marking a key milestone in the company’s strategy to become an integrated producer.
The Burbanks facility, which has been on care and maintenance since 2019, will require refurbishment, according to Auric. The plant has capacity of 180,000 tonnes per annum and is located 10 kilometres south of Coolgardie.
Managing Director Mark English said Burbanks provides “key infrastructure with approvals and permits” already in place, adding that it was secured at a “vast discount” to the plant’s intrinsic and replacement value.
“With the Burbanks acquisition complete, we see this ideally located infrastructure as a transformational and growth opportunity for Auric,” he said.
“Our initial focus will be on completing technical studies to allow us to best determine parameters for a mill refurbishment or rebuild.“
The Burbanks facility includes crushing, grinding and carbon-in-leach circuits, as well as tailings dams, a water licence and three-phase power connections.
Auric has engaged consultants to model upgrade options and believes the facility could process ore from other producers in the Goldfields as well as its own projects.
The company also noted earlier success at Jeffreys Find, where it generated significant returns, citing its record of creating value through low-cost acquisitions.
Write to Dan Petrie at Mining.com.au
Images: Auric
