
Great Divide Mining Ltd (ASX:GDM) has successfully completed its mine site due diligence at Adelong Gold Ltd’s (ASX:ADG) project in Adelong, New South Wales, with results reported as “satisfactory”.
This milestone enables the progression of the binding farm-in agreement signed on November 11, 2024.
Following the completion of due diligence, GDM will acquire a 15 per cent stake in Challenger Mines Pty Ltd (CMPL), a wholly-owned subsidiary of ADG, and assume operational control of the mine, mine site, and processing plant.
Paul Ryan, Chairman of Great Divide Mining, pointed out the company’s approach, commenting: “We took a GDM ‘hands-on’ approach to the due diligence, with senior personnel on-site working side-by-side with technical experts.
“This enabled more immediate and direct communication, resulting in shortened timelines, with several key pieces of equipment already re-commissioned.”
The company reports that several critical pieces of equipment have already been brought back into service ahead of the Christmas break.
GDM CEO Justin Haines highlighted the company’s proactive stance, stating: “It’s one of the things that I love about GDM is the can-do attitude and a workplace where everyone pitches in.
“We just get jobs done.”
In addition to equipment recommissioning, GDM is focusing on improving the site’s appearance and infrastructure.
“We’re giving the mine site and equipment a lick of fresh paint too,” said Haines.
“We’ll have a grader on site to clean up the roads and earthworks.”
Community engagement has also begun, with meetings involving local farmers already underway and more scheduled for early February.
The revival of the Adelong project is already having a positive impact on the local community, with the Adelong Services, Citizens and Bowling Club reporting a significant increase in its stock of cold beers.
“GDM’s focus is on rapidly moving the Adelong Gold Mine back onto a sustainable production footing, both for GDM’s shareholders and for the Adelong community,” Haines stated.
This development marks a significant step in GDM’s transition from explorer to producer, following shareholder approval earlier this year for the company’s change in business direction.
The successful completion of due diligence at Adelong aligns with GDM’s strategy of focusing on historically significant workings and leveraging brownfield permitting opportunities.