Ero Mining puts Queensland alluvial gold mine up for sale
By: Esmarie Swanepoel
26th August 2010
PERTH (miningweekly.com) ASX-listed junior Ero Mining would start searching for a buyer for its Georgetown gold operations, in Queensland, it said on Thursday.
The company reported last month that it would be considering alternative strategies for the century-old alluvial gold mine, which it bought in 2009 for A$2,65-million.
However, MD Kevin Lines said that, following a review of these options and the receipt of unsolicited expressions of interest in the project, Ero believed that the sale of the mine was in the best interest of shareholders.
Site inspections by interested purchasers would take place during September, Lines added.
In April, Adelaide-based Ero produced its first gold from the mine and sold 42,5 oz of gold bullion to a local refiner.
The Georgetown gold project is made up of the operating alluvial gold mine and the surrounding granted exploration licence. The mining operation consists of 13 granted mining leases, covering a total of 389,39 ha, which are positioned over alluvial wash within Tabletop Creek and the un-mined headwaters of the adjacent Western Creek.
The project is estimated to host an exploration target of between 40 000 oz and 45 000 oz of recoverable gold.
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