Northern Star CEO Tonkin to step down after a decade at helm

Northern Star Ltd.’s chief executive officer Stuart Tonkin will step down after nearly a decade at the helm, as the gold miner struggles with production issues at its operations in Western Australia.

Tonkin, who was integral to the company’s growth through the multi-billion-dollar acquisitions of Saracen Mineral Holdings Ltd. and De Grey Mining Ltd., will leave in the coming months, the company said in a statement on Thursday.

“Under Mr Tonkin’s leadership, Northern Star has grown from a small-cap Western Australian-focused miner into Australia’s largest ASX-listed gold producer,” the company said in the statement.

Tonkin’s departure comes as the company continues to struggle with production output at its flagship operation in Kalgoorlie, which has resulted in multiple cuts to guidance. This has resulted in Northern Star’s shares tumbling over the last couple of months even as it benefited from elevated gold prices. Tonkin has also expressed concern in analyst calls that the company could become a takeover target.

(By Paul-Alain Hunt)