TSXV:SGA.H - Post by User
Post by
Goldbuggy2on Apr 23, 2007 2:23am
116 Views
Post# 12655890
Early History on SGA...
Early History on SGA...While the price tag of the mine has not been disclosed, Michelago
has previously reported the consortium, Australian Solomons Gold
(ASG), would spend up to $US80 million acquiring and developing
it. It is believed the first payment was in the range of $US10-20
million, with two further payments due.
Michelago moved to a headline 50% of ASG in May, building on its
earlier stake of 20%. It acquired the additional 30% from Sashmo
for $1 million cash and 12.8 million Michelago shares, though
Sashmo has retained a 2.5% free carried interest in the project –
built into Michelago's stake.
The balance of the project is held by Ausenco (20%), Societe
Generale (10%) and Resource Capital Fund (20%) and the
resulting company, Australian Solomons Gold (ASG), together
made the initial payment.
Michelago managing director Greg Starr said work would now start
as part of the BFS, including improving the resource base. Gold
Ridge currently has reserves of 1.76 million ounces and a further
2.3Moz in resources.
He said the study was considering a 2.5 million tonne per annum
operation, producing 150,000 ounces per annum.
GB