Develop acquires Heron’s Woodlawn zinc-copper mine in NSW

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Develop has completed the purchase of the Woodlawn zinc-copper mine in New South Wales, as well as the vast tenement package, for A$30 million in cash and success-based milestone payments by purchasing all the shares in Heron Resources Limited.

According to the ASX Announcement, the acquisition includes an underground mine and a new processing plant/site infrastructure.

Woodlawn is a high-grade, volcanogenic massive-sulphide (VMS) deposit located approximately 50km northeast of Canberra, and 250km southwest of Sydney.

Heron developed the Woodlawn underground mine and processing plant, investing A$340 million in the project before it was put on care and maintenance in 2020 and Heron went bankrupt in July 2021.

Adertisement

According to Develop Managing Director Bill Beament, the Woodlawn acquisition is a turning point in the Company’s growth plan.

“This is an outstanding deal which has delivered Develop a world-scale project complete with an underground mine and processing infrastructure,” he said.

“We have used the three months since we agreed the purchase to devise a full exploration strategy with the aim of converting Inferred Resources, extending the mineralised lenses, which we know are open at depth, and drill testing the EM conductors identified by leading consultants NewExco. Now we can start implementing that strategy.”

Image credit: https://www.heronresources.com.au/woodlawn-zinc-copper-project