Superior Gold expands Plutonic mine in Australia

In its first full year as a public company and gold producer, Superior Gold (TSXV: SGI) churned out 82,019 ounces of the precious metal from its Plutonic mine in Western Australia, and this year the Toronto-based junior hopes to boost that number to about 100,000 ounces. The mine, which has produced more than 5.5 million ounces since 1990, was once owned by Barrick Gold (TSX: ABX; NYSE: ABX). The Canadian gold major acquired Plutonic in 2001 through its acquisition of Homestake Mining, and ran it until 2014, when it sold it during one of its asset purges to Australian producer Northern Star (ASX: NST). Superior Gold took possession of the mine in October 2016 in a cash and share deal with Northern Star worth A$42 million, or about US$32 million at current exchange rates. Northern Star remains Superior Gold’s major shareholder with a 19.2% stake. The mine started off as an open pit and moved underground, and, according to Chris Bradbrook, Superior Gold’s founder, president and CEO, is the sixth largest historic gold producer in Western Australia. Continue reading at The Northern Miner.