Photo credit: The Pick
Lole Mining Limited, the new developer of the Tolukuma Gold Mine in Central Province, has recently developed an initial public offering (IPO) to be listed on the Australian Stock Exchange. Mineral Resource Authority managing director, Jerry Garry, told the Post Courier, "The company will be raising their capital from the stock market upon registration with the Australian Securities (ASX)."
Mr. Garry went on to explain that Lole Mining was granted an extension mining license (ML104) for 10 years in January of last year, following a liquidation order from the National Court in February 2018. Since then, the liquidator has been attempting to sell the assets of the mine, including the mining lease (ML104 and 105 surroundings), and while there were several interested parties, none of the agreements were successful.
"In April 2018, all those assets, including the ML 104 and 105 exploration licences, were transferred to the Pini Accounts and Advisors as the liquidators. As part of the agreement under the asset sale agreement, Lole Mine paid half a million (K500,000) and later K1.5 million in January 2022," he said.
After assessing all the proposals, Mr. Garry said, "The technical assessment team and the council believe that Lole Mining was the most sensible, logical, and cost-effective proposal to reopen the Tolukuma Gold Mine, having them fulfill the first two transfers to the liquidators to offset the creditors or the debts."
"The final payment was K20 million and that K20 million was paid by Lole Mining to the liquidator in October last year to allow for all the assets to be transferred to the company," Mr. Garry added.
The development of an IPO by Lole Mining marks a significant step in the company's growth strategy and will provide an opportunity for investors to participate in the development of the Tolukuma Gold Mine. Mr. Garry said, "With the successful completion of the IPO, Lole Mining will be well-positioned to drive the growth of the mining industry in Papua New Guinea."
