It’s a process that has been well expected among interested parties. DeGrussa’s high-grade copper hauled Sandfire from the obscurity of resources juniors, when it was discovered in 2009 to a billion-dollar plus market capitalisation in a couple of years.
But Sandfire has flagged the wind down of operations as mine life ended, and had a strategic review underway. DeGrussa is now a non-core asset, as Sandfire switched focus to MATSA in Spain and Motheo in Botswana
Azure’s pitch for was expected to move on from DeGrussa’s copper spoils and instead focus on the exploration potential for gold at the site.
Industry sources expected ASX-listed Westgold Resources and TSX Venture listed Superior Gold to try DeGrussa for fit as a bolt-on acquisition that would be in proximity of their Plutonic and Fortnum mines respectively.
Sandfire was understood to be open-minded about what shape the deal could take, and keen to talk to suitors about either doing a whole-of-the-asset deal or for parts, including the plant and equipment.
Azure was expected to call for indicative bids in January end.
