Lingbao to acquire 50% stake in St Barbara Mining

China's Lingbao Gold Group has entered into agreements to get a 50% involvement successful Australia-based St Barbara’s afloat owned subsidiary, St Barbara Mining (SMBL), for A$370m ($245.57m) successful cash.

Upon completion, SMBL volition clasp an 80% involvement successful the Simberi golden task successful Papua New Guinea (PNG), and an unincorporated associated task (JV) implicit the Simberi golden project, known arsenic the Simberi JV, volition beryllium established.

In a parallel development, St Barbara has signed agreements with Kumul Mineral, nether which Kumul volition get a 20% involvement successful the Simberi golden task for A$100m.

Following the transactions, St Barbara and Lingbao volition each ain 50% of SBML.

This operation ensures that St Barbara is afloat funded for its anticipated stock of superior costs, materially reducing hazard for the Simberi enlargement task and speeding up the way to a last concern determination (FID) and accrued production.

Additionally, the improvement is de-risked done the strategical concern with Lingbao, which brings extended planetary golden mining expertise including commercial-scale golden ore smelting operations.

The agreements are taxable to support from Chinese and PNG regulators, the hold of the Simberi mining lease, and some parties committing to a affirmative FID for the Simberi golden project.

Completion is targeted for precocious successful the 3rd 4th of fiscal twelvemonth 2026.

Lingbao managing manager and CEO Andrew Strelein said: “The investments by Lingbao and Kumul successful Simberi volition assistance america accelerate the improvement of the Simberi enlargement task and the transportation of its worth to our shareholders and cardinal stakeholders successful PNG.

“This is simply a high-quality brownfields task with debased superior intensity, a highly competitory operating outgo operation and long-life assets that has imaginable to turn successful the future. With Lingbao we person a committed, experienced and well-funded partner. In addition, we invited Kumul to the task arsenic a co-investor.

“St Barbara is present afloat funded for its expected stock of the improvement costs of the Simberi golden task and to beforehand its Atlantic assets successful Canada, including the Touquoy reopening and the improvement of 15 Mile Processing Hub.”

"Lingbao to get 50% involvement successful St Barbara Mining" was primitively created and published by Mining Technology, a GlobalData owned brand.

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