Measures taken by Barrick Gold (TSX: ABX; NYSE: ABX) to divest non-core assets, chip away at debt and focus on five cornerstone mines in the Americas are benefiting juniors like Otterburn Resources (TSXV: OBN).
Otterburn has announced that K92 Holdings – a company it is in the final process of acquiring – has bought Barrick’s Kainantu copper-gold mine in Papua New Guinea (PNG) in a deal worth US$62 million.
The sticker price includes the mine, which operated from 2006-09, and 400 km2 of adjacent ground in the Eastern Highlands province of PNG, 180 km northwest of the town of Lae, and 110 km northwest of Newcrest Mining’s (ASX: NM) Golpu copper-gold deposit.
Barrick bought Kainantu and more than 2,900 km2 of prospective exploration licences for US$141.5 million in cash from Highlands Pacific (ASX: HGL; US-OTC: HLPCF) in December 2007. It mined Kainantu’s Irumafimpa-Kora vein until 2009, invested in mine development at Irumfimpa, drilled at Kora and explored regionally.
Read the complete article at NorthernMiner.com/news/kainantu-mine
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