NORTON COMPLETES $30M ASSET SALE
Written on the 21 March 2011
NORTON Gold Fields Limited (ASX: NGF) has formally completed the $30 million sale of two coal projects to Boardwalk Sienna Pty Ltd.
Norton’s managing director Andre Labuschagne, says the completed sale allows the Brisbane-based miner to focus exclusively on gold.
“This is a very positive outcome for the company allowing us to extract significant value from a non-core asset and leaving Norton with a 100 per cent gold focus,” he says.
“To ensure an efficient use of Norton’s surplus cash, we will use just over $13 million to immediately reduce our debt to approximately $85 million.”
The Sale and Purchase Agreement of Brisbane-based Norton’s Sienna and Electra coal projects was announced to the market at the end of last year, with the first major payment received of $15 million received on February 22.
The final $14.5 million was paid on March 14, with the remaining $500,000 received upon signing of the agreement on December 17.
Norton Gold Fields is Brisbane’s 42nd largest company. Read about the top 50 in Brisbane Business News’ special March edition.