Name of the Project
Simberi sulphides expansion.

Location
Simberi Island, in the province of New Ireland, Papua New Guinea.

Project Owner/s
Gold miner St Barbara.

Project Description
The ten-year mine plan at Simberi includes the mining of several openpits to exploit the substantial oxide and sulphide ore reserves. 

The concept study envisages production of two-million ounces of gold.

The study considers six different cases, comprising two flowsheet options with three different processing rates – two-million tonnes a year, three-million tonnes a year and 3.7-million tonnes a year. 

The two flowsheet options propose:
•    production of a gold concentrate for sale; and 
•    production of gold doré from ultrafine grinding (UFG) and cyanide leaching of the concentrate.

Investment in the 3.7-million-tonne-a-year saleable concentrate flowsheet provides the most compelling development pathway – lifting Simberi’s production from its current range of 70 000 oz to 75 000 oz across the 2025 to 2027 financial years to an average of 230 000 oz from the 2028 financial year.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
$213-million.

Planned Start/End Date
First sulphide production is expected in the 2028 financial year.

Latest Developments
St Barbara announced plans on November 5 to raise up to A$110-million to fast-track the expansion.

The miner aims to accelerate first production by up to five months and will raise A$100-million in a two-tranche placement of about 263-million new fully paid ordinary shares from institutional and sophisticated investors at A$0.38 a share.

Shareholders will also have the opportunity to particate in a share purchase plan at the same price, capped at A$10-million.

The funds will be used to advance the sulphide expansion project, with key components including the procurement and construction of a new larger ball mill circuit, as well as the construction of the expanded wharf for concentrate vessels, a new run-of-mine (RoM) pad and sizer installation.

The cost to complete the ball mill is estimated at A$58-million, while the wharf upgrades will require A$33-million.  The RoM pad/sizer will require A$23-million.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
St Barbara, tel +61 3 8660 1900 or email info@stbarbara.com.au.