ONE of Australia’s largest gold and antimony mines that just happens to be in the New England is being offered for sale.
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Straits Resources owns the Hillgrove Antimony Mine near Armidale and is seeking to sell it off to Bracken Resources.
The company was in talks with a number of companies to buy the mine, including Western Australia-based Emu Nickel, but is understood the plans fell through.
The mine is currently on care and maintenance and was anticipated to be back in production by mid-next year by Emu Nickel, which would have purchased it for $40 million.
Now Bracken has its sights on the mine.
Straits Resources have agreed to enter a short-term, exclusive arrangement with the company, under which Bracken will have the right to complete its due diligence with a view to acquiring the mine in 90 days.
It is understood Bracken will pay non-refundable option fees of $1 million immediately, followed by another $1 million after 45 days and $1 million on exercise, to continue the review.
Bracken will have the option to purchase the mine for $27 million cash, plus a replacement of $4 million in bonds, in addition to the option of fee payments.