Hanking Gold Mining Pty Ltd. entered into an agreement to acquire Southern Cross Operations from ST Barbara Ltd. (ASX:SBM) for AUD 22.5 million in cash on January 8, 2013. Consideration for the sale is AUD 22.5 million cash, including AUD 5 million as deposit, as well as the assumption of rehabilitation obligations applying to the tenements being sold. Simultaneously, 3D Resources Ltd. entered into a profit share agreement to acquire a free carry participation in the transaction.

Under its agreement with Hanking Gold Mining, 3D Resources is entitled to a 15% net profit interest from all profits generated by gold production from the extensive tenement package purchased from St Barbara and from any toll treatment from outside tenements using the Marvel Loch gold processing plant. The 15% net profit interest agreement will come into effect on settlement of the sale. 3D Resources obtains a first right of refusal in the event that the operations are sold by Hanking.

The acquisition is subject to normal approvals including the third party approval and the approval from the Foreign Investment Review Board of Australia. The transaction has been approved by Foreign Investment Review on February 14, 2013. Completion of the sale and settlement is expected to occur by late February or early March 2013.

SLM Corporate Pty Ltd. acted as financial advisor for ST Barbara Ltd.