Barrick reportedly edging closer to WA asset sale

Rumours have emerged that Barrick Gold is edging closer to the sale of its Western Australian assets, with speculation Tribune Resources is considering buying out the East Kundana gold mine.

Reports surfaced in April that the world’s largest gold miner was looking to sell three gold mines in Western Australia in order to reduce debt and fight-off a credit rating downgrade.

According to Reuters the gold producer has appointed UBS and Merrill Lynch to advise on the sale of its Yilgarn South assets, which comprise of the Darlot, Granny Smith, and Lawlers mines.

Barrick was unavailable for comment at the time of publication but The West Australian reports a possible sale to Tribune, which is a joint venture partner in the East Kundana project, could be on the cards.

The company is also reportedly open to offers on its Kanowna and Plutonic mines.

East Kundana mine, located 21 kilometres west of Kalgoorlie, yields 12 grams of gold per tonne and is said to be one of the most profitable gold operations in the country.

In June Barrick laid off 22 workers from its Kanowna operation east of Kalgoorlie-Boulder, notified 35 staff at its global greenfields exploration unit that their positions would be moved from Perth to Canada, and retrenched 32 jobs from its Perth head office.

At the time the company warned its Australian workforce to brace itself for extensive job losses over the coming months.

Barrick employs about 2500 people Australia-wide.

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