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Petromin completes sale of Tolukuma Gold Mine

Admin | 3:02 AM |
PETROMIN PNG Holding Ltd has completed the shares agreement for the Tolukuma Gold Mine (TGM) with Singaporean Company Asidokona, according to Petromin managing director Thomas Abe.
The sales agreement was signed on Oct 7.
“I am pleased to announce that Petromin has successfully completed the sale of TGM to Asidokona Mining Resources Pte Limited of Singapore   who will now be the new owner of Tolukuma Gold Mine”, Abe said.
The handover ceremony was held at the mine site on December 2 attended by  landowners, chiefs and representatives from Asidokona, Petromin, the Central provincial government and the Mineral Resources Authority.
Abe commended Asidokona for entering the Papua New Guinea mining sector at this time and for its commitment and cooperation in completing the transaction successfully.
He said there would be many challenges facing Asidokona in relation to the operation of the Tolokuma Gold Mine.
Since the acquisition of the mine in 2008, TGM has accumulated around K170 million losses over the eight years, which was a continual cash flow drain on Petromin.
“This is a financial burden that Petromin cannot continue to bear, especially in the current downturn in commodity prices and activities. Therefore, as a commercial entity, Petromin took the commercial decision to sell TGM,”  Abe said.
He said the successful completion now relieved Petromin of this financial burden.
Tolukuma Gold Mine Ltd provides gold mining and exploration services and is in Central.