Perth miner Bass Metals has sold its Tasmanian gold mine.
Privately-owned Ivy Resources has bought the Hellyer mill processing plant and mine tailings for $11 million.
The sale will allow Bass Metals to clear its debts and begin new exploration projects.
Bass will keep control over exploration rights at the site in the north-west.
Managing Director Mike Rosenstreich says the sale was critical, after a $14 million sale deal collapsed last year.
"Ask our shareholders and creditors that [how critical], they've been very patient for the last 12 months or so," he said.
"The reality is we needed to make a major asset sale to be able to pay down the last of our debt to our bankers and also key creditors.
"We thought we'd done that deal in August of last year, then were let down." Bass is still pursuing legal action against the Singapore-based company over the failed deal.
The successful sale is not likely to need shareholder approval.
It includes a $600,000 payment by Ivy next month.
Managing director Roger Jackson says he expects it will take nine years to extract gold from the tailings and rehabilitate the site, creating about 70 jobs.
"There may be some further down line processing that we'll be doing, and that'll require more." Circular Head Mayor, Daryl Quilliam says employment at the Hellyer mine will build on mining jobs created by Shree Minerals.
"We're talking about 130-odd jobs between the two and if you take the families into consideration as well, well that's probably more likely 500 people along the coast." The announcement saw Bass Metals' share price double from 5 to 12 cents a share.