Auric Mining Executes $4.4M Deal for Burbanks Mill Acquisition
Auric Mining has executed a contract to acquire the Burbanks Mill in Western Australia for $4.4 million, marking a strategic step towards operational independence and enhanced value capture.
- Contract executed for $4.4 million acquisition of Burbanks Mill
- Acquisition aims to establish Auric’s own processing pathway
- Settlement expected mid to late September 2025
- Fully funded deal to reduce reliance on third-party milling
- Strategic milestone towards becoming a fully integrated miner
Strategic Acquisition Announced
Auric Mining Limited (ASX – AWJ) has taken a significant stride in its growth trajectory by executing a contract to purchase the Burbanks Mill and associated assets located in Coolgardie, Western Australia. The deal, valued at $4.4 million plus GST, positions Auric to gain direct control over its ore processing capabilities, a critical component in the gold mining value chain.
A Move Towards Operational Independence
For Auric, the acquisition fills a longstanding gap in its operational infrastructure. Managing Director Mark English highlighted that owning a mill has been a missing piece in Auric’s ambition to become a fully integrated miner and producer. By internalizing processing, Auric aims to increase operational flexibility, reduce dependence on third-party milling services, and ultimately capture more value from its mining operations.
Financial and Timing Details
The company confirmed it is fully funded to complete the acquisition, with settlement anticipated by mid to late September 2025, pending the fulfillment of all conditions precedent. The contract was executed on August 22, 2025, with Andrew Fielding of BDO Queensland acting on behalf of the mortgagee in possession.
Implications for Auric’s Future
While the announcement does not detail the capital expenditure or timeline for bringing the mill fully online, the acquisition signals a clear strategic direction. Auric’s management envisions the Burbanks Mill as a cornerstone asset that will enable the company to control its processing pathway and enhance shareholder value over the long term. This move could also provide Auric with greater resilience against external processing cost pressures and supply chain uncertainties.
Looking Ahead
As Auric progresses towards settlement and eventual operational integration of the Burbanks Mill, investors will be watching closely for updates on capital investment plans and how the company leverages this asset to boost production efficiency and profitability. This acquisition marks a pivotal moment in Auric’s evolution from a mining explorer to a more vertically integrated producer.
Bottom Line?
Auric’s acquisition of Burbanks Mill sets the stage for greater control and value capture, but execution risks remain as it moves to operationalize the asset.
Questions in the middle?
- What are the planned capital expenditures and timeline to bring Burbanks Mill into full operation?
- How will owning the mill impact Auric’s production costs and margins compared to third-party processing?
- What conditions precedent remain before settlement, and could they delay or alter the acquisition?
