Apex Mining Co. Inc. is eyeing divestment of its assets in Mongolia to reverse an impairment charge of P1.3 billion, said Ramon Peter Adviento, Apex Mining assistant vice president for corporate investor relations, in a virtual forum hosted by Philstocks Financial last Monday.
Apex Mining has a stake in the Khar At Uui gold project in Mongolia registered under the joint venture company Erdeneminas LLC, 51 percent of which is owned by Minas de Oro Mongol LLC, a wholly-owned subsidiary of Monte Oro Resources & Energy Inc. (MOREI).
The remaining 49 percent is owned by Mongolian exploration company Erdenejas LLC.
Apex Mining said since last year, the Mongolian gold project remained under continued care and maintenance.
According to the company’s corporate filing, as of end-2022, the carrying value of Apex Mining’s deferred exploration costs amounted to P1.99 billion, net of allowance for impairment losses of P578.76 million.
The company said an investor signified interest to take over the joint venture but Erdenejas has not acted on it.
MOREI in turn is a wholly owned subsidiary of Apex Mining.
Despite plans to divest the Mongolian asset, the company as a whole remains keen on ventures abroad.
“Our geologists are looking at properties in the areas (where the Razon Group) has interests, has ports. If there is a potential, we will look at them. We are moving towards a level of ability to export human capital to open up new mines around the world, we’re preparing for that,” Adviento added.
Adviento also said Apex Mining aims to reach “world-class mining status” to gain access to better capital financing and mining jurisdictions.-Jed Macapagal
