Australia’s St Barbara said on Wednesday that Chinese gold producer Lingbao Gold Group will buy a 50% stake in its subsidiary St Barbara Mining for A$370 million ($245.5 million) in cash.
St Barbara Mining owns the Simberi Gold Company, which will hold an 80% stake in Simberi Gold Project in Papua New Guinea (PNG).
The remaining 20% stake will be acquired by Kumul Minerals, the state nominee for PNG’s share of minerals projects in the country, for A$100 million.
Kumul’s investment comes as the PNG government seeks to expand national ownership of key resource projects.
Meanwhile, Australian gold producers have been enjoying rapid equity gains, boosted by surging gold prices, prompting companies to unlock value from quality assets both domestically and overseas.
“With Lingbao, we have a committed, experienced and a well-funded partner,” St Barbara CEO Andrew Strelein said, adding that Kumul’s participation in Simberi helps align the interests of key stakeholders.
“St Barbara is now fully funded for its expected share of the development costs of the Simberi Gold Project.”
The company aims to reach a final investment decision on the Simberi Expansion Project in the third quarter of fiscal 2026.
($1 = A$1.5072)
Reuters
