Northern Star Resources has completed the sale of the Paulsens Gold Operation and Western Tanami Gold Project to Black Cat Syndicate Limited for a total cash, stock, and contingent cash payment consideration of $44.5 million.
Paulsens is located 190km west of Paraburdoo, within the Ashburton region of Western Australia.
The Western Tanami Gold Project is part of the Tanami Project which is comprised of Central Tanami (Northern Star 50% ownership), Tanami Regional (Northern Star 100% ownership), and Western Tanami (Northern Star 100%).
Northern Star’s five-year strategic plan does not include Paulsens and Western Tanami, so they are currently on care and maintenance.
“Paulsens was Northern Star’s foundation asset and contributed immensely to our successful growth into a global gold producer. The dedication of our workforce to establish significant cashflow generation based on Paulsens enabled the future growth of Northern Star to what it is today,” said Northern Star Managing Director Stuart Tonkin in an ASX Announcement.
“Combined with the sale of Western Tanami, this is a good outcome for all and highlights our commitment to active portfolio management and driving shareholder value.”
Northern Star retains a 50% interest in the Central Tanami Joint Venture and a 100% interest in a portfolio of regional Tanami tenure in the Northern Territory, where exploration investment continues.