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Auric Mining (ASX: AWJ) has put a bow on its $4.4 million Burbanks gold processing plant acquisition, with the Coolgardie mill buy a key step for the explorer as it works towards having “complete control over production.”
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The explorer now boasts the historic Burbanks facility and all its assets, including critical power, water, and other “essential” plant infrastructure. These range from three-phase power and a 300,000-kilolitre per annum water licence to tailings dams, several key supporting facilities, and plenty more.
Burbanks is a crushing, grinding and carbon-in-leach facility that can produce as much as 180,000 tonnes per annum. Importantly, the fully-licensed plant sits within trucking distance of all Auric’s existing Coolgardie gold resources. It has been dormant since 2019, but should be ready to refire quite quickly.
“With the acquisition complete, we see this ideally located infrastructure as a transformational growth opportunity for Auric,” managing director Mark English declared.
As for why Auric swooped, Mr English explained: “Burbanks provides key infrastructure with approvals… to accelerate Auric’s ambition of becoming a fully integrated, sustainable gold producer in the heart of the Goldfields.”
The explorer will soon complete a technical study to “best determine parameters for a refurbishment or rebuild,” but ultimately, it can get to work quite soon.
“Ultimately, we are endeavouring to have complete control over our production,” Mr English explained to Auric’s shareholders early on Wednesday.
On price, Mr English added Auric felt they’d landed a “vast discount” for the plant.
HotCopper understands Auric may eventually look into a Burbanks expansion, too, which would turn the facility into a regional processing hub for third-party toll treatment; that option is still in the theory stage.
AWJ has opened +2.17% higher, at 23.5cps.
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