Saracen Mineral Holdings (ASX:SAR) 50% stake in Super Pit gold mine and A$796 million equity raise

Company News

by Ortenzia Borre

Saracen Mineral Holdings (ASX:SAR) has entered into an agreement to acquire a 50% stake in Super Pit gold mine in Western Australia for a price of US$750M.

Saracen intends to raise approximately A$796 million and the balance of the purchase price will be funded from a new A$450 million senior secured term loan.

Newmont Goldcorp Corporation, the world’s leading gold company, will be Saracen’s joint venture partner at the Super Pit and will retain its 50% ownership interest in the KCGM JV and operatorship of the Super Pit.

The sale agreement with Barrick Gold Corporation Underwrites Saracen’s future as one of Australia’s largest, longest life gold producers with three mines in close proximity to Kalgoorlie.

Saracen Mineral Holdings (ASX:SAR) are in a trading halt withh shares last trading at $3.39.