Resolute Mining sells Bibiani mine to Asante Gold for $90 million

Bibiani’s sale would reduce Resolute’s portfolio to two gold assets: Syama, in Mali (pictured) and Mako, in Senegal. (Image courtesy of Resolute Mining. )

Australia’s Resolute Mining (ASX, LON: RSG) is selling its Bibiani gold mine in Ghana to Canada’s Asante Gold (TSX-V: ASE) for $90 million cash. 

The company will receive an initial $30 million payment, followed by another $30 million on or before six months from the transaction close. The final $30 million is set to come on or before a year from completion, Resolute said. 

The Western Australia-based miner had inked in December a $105-million sales deal with China’s Chifeng Jilong Gold Mining, which fell flat after Ghana suddenly cancelled the mining lease, ordering Resolute to halt operations. 

Chifeng walked away, even though the lease was subsequently restored, saying it had not received timely information about the termination of the mining lease. 

The deal would have marked the Chinese miner’s second overseas acquisition, after it bought a 90% stake in the Sepon gold and copper mine in Laos in 2018. 

Resolute said the deal with Asante had already been approved by Ghana’s minister of lands and natural resources, adding that it expected to complete it in the next 10 days. 

Bibiani’s sale would reduce Resolute’s portfolio to only two assets — Syama in Mali and Mako in Senegal.