Evolution mulls sales of gold mine as suitors line up
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Evolution Mining’s share price has dipped in morning trade despite the gold miner saying it has received several offers from interested parties for its Edna May mine in Western Australia.
The Perth-based gold miner (ASX:EVN) said it would now determine whether a sale to the was in the best interest of its shareholders.
However, investors haven’t welcomed the news with the stock down almost 3 per cent to $2.53 at 10:40am AEST.
None of the interested parties have be named.
“Evolution plans to progress these offers and will update the market if any binding agreement to sell the assert is entered into,” the company said.
Edna May, located near the town of Westonia in Western Australia, produced 70,188 ounces in 2017 which represented around 8 per cent of Evolution’s total production for the year. The mine opened in 2010 and was expected to be in operation for nine years, producing around 100,000 ounces of gold per annum.
Evolution has previously stated that a key objective of its corporate strategy was to increase the quality of its asset portfolio which included evaluating acquisition and divestment opportunities.