St Barbara sells New Simberi interest for $410M

• St Barbara has sold the remaining interest in New Simberi to Lingbao Gold Group for $410 million in upfront cash.
• The transaction boosts the company's total pro-forma cash reserves to approximately $880 million while maintaining zero debt.
• The divestment aligns with the strategy to fund regional development projects and retain exposure through ongoing production royalties.

St Barbara (ASX:SBM) has agreed to sell its remaining interest in the New Simberi Gold Project to Lingbao Gold Group for $410 million in cash.

The divestment builds on an earlier December 2025 transaction where the business agreed to sell an initial 20% interest in the project to Eda Minerals for $100 million.

St Barbara Managing Director and CEO Andrew Strelein said, "The company’s interest in New Simberi has never been fully reflected in the company's share price, and this transaction resolves that situation at a logical point for Lingbao to take full control of New Simberi."

The company stated that the transaction is expected to position its balance sheet with approximately $880 million in pro-forma cash reserves and zero debt upon completion.

Under the binding terms, Lingbao will also provide $43 million in cash repayment for capital contributions alongside ongoing royalties, including a 2.75% net smelter return.

Following the announcement, the St Barbara share price was unchanged at $0.73.

The miner intends to deploy the proceeds towards developing its 15-Mile Processing Hub Project and advancing the Touquoy Restart Project.

The transaction is targeted for completion in the March quarter of 2027 subject to customary closing conditions precedent.