CLAREMONT: St Barbara Ltd. (ASX: SBM), a Papua New Guinea-based gold producer, has agreed to acquire a 14.4% stake in Geopacific Resources Ltd. (ASX: GPR) through a share exchange with Patronus Resources Ltd. (ASX: PTN), the companies announced Friday.
Under the deal, St Barbara will transfer its 158.1 million shares in Patronus in exchange for 458.6 million shares in Geopacific. The transaction, pending approval from Patronus shareholders, will make St Barbara a strategic investor in Geopacific as the latter develops its Woodlark Gold Project in Papua New Guinea.
The Woodlark project, fully owned by Geopacific, holds an estimated 1.67 million ounces of gold, according to a mineral resource update released in August 2024. St Barbara’s existing operations in PNG, including the Simberi Gold Mine, are expected to provide local expertise to support the project’s development.
Following the transaction, Patronus will no longer be a substantial shareholder in Geopacific but will retain about 41 million shares.
Geopacific CEO James Fox said the partnership aligns with the company’s growth strategy. “St Barbara’s experience in PNG strengthens our position as we advance Woodlark,” he said.