Post by
enigma75 on Aug 05, 2013 3:33pm
Asset sales
As an addendum to my last post, i am a million miles beyond astonished and angry that the manager in bankruptcy would deem it appropriate to sell an operational mill (Burnstone) which alone cost hundreds of millions of dollars, along with proven reserves of 7 million ounces of gold and a PP&I resource approaching 25 million ounces for such a pittance.
I thought the original plan was to place the plant on care and maintenance pending a recovery in gold prices and an operational review aimed at identifying a more effective mining method. I never dreamt that they would simply give the assets away.
Compare Hollister which had only about 600,000 ounces of gold along with a mill that they acquired for about $30 million, yet sold for what could amount to over $100 million.