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Monday, 25th April 2005 (4660 views)

Mining firms are digging deep into the past and focusing on some of Australia's oldest and most productive gold mines.<br/><br/>Previously it was thought gold deposits tend to fade out as they get deeper, but multinational companies are now happy to dig deeper and make new finds, after getting used to deeper operations in areas such as South Africa.<br/><br/>Eagle Research Advisory analyst, Keith Goode, told AAP: "With the takeover of many of Australia's small miners by larger companies most of the older mines are now held by big companies with significantly deeper pockets that can afford to start drilling deeper.<br/><br/>"They're coming from a different angle, from places where mines start two and a half kilometres underground and take 12 years to bring into production."<br/><br/>One example of a deep exploration mine is the Callie operation in the Northern Territory's Tanami Desert, which is now owned by Newmont Mining.<br/><br/>According to Paul Dowd, the new managing director of Newmont's Australian operations, the Callie site may have up to seven million ounces of gold in additional reserves.<br/><br/>In addition, Newmont and Barrick Gold have joined forces drilling a kilometre below the huge Super Pit at Kalgoorlie, whereas in the past exploration stopped at depths of 500 to 600 metres.<br/><br/>Other Australian deposits that have seen deeper exploration include Kanowna Belle, St Ives and Telfer.<img alt="track" src="http://directnews.dehavilland.co.uk/dn.gif?feedid=196&itemid=8355116"/>

 

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