NSW wins silver medal in gold

Gold exploration now accounts for approximately 50 percent of total mineral exploration expenditure in New South Wales.

Major producing deposits at Orange, Parkes, and Cobar have secured NSW’s status as the second highest gold producing State in Australia.

And Broken Hill’s reputation as the ‘Silver City>’ could change to gold following the recent discovery of a major deposit along the South Australian border.

NSW is the growth State for gold exploration, investment and production with a winning combination - sound policy, an attractive investment climate and strong and detailed plans from the State Government.

In the September 2004 quarter, gold exploration was particularly strong at $7.6 million, the highest quarterly gold exploration figure since March 1998.

The total value of NSW gold production increased by 147 percent between 1997-98 and 2003-04.

In 2003/04 alone, NSW produced around 10 percent of Australia’s total gold output, worth $427million.

That is more gold than any of the other States, except for Western Australia, for the second year running.

The Australian Bureau of Agricultural and Resource Economics reported in September last year that NSW produced 7 tonnes of gold in the June 2004 quarter, up by 2 tonnes on the March quarter results.

At current projections, NSW is set to produce gold worth more than $500 million in 2004/05, mostly driven by significantly higher production from the Ridgeway mine, part of Cadia Valley Operations.

Mine operator, Newcrest Mining Limited has recently uncovered a major increase in resources at Cadia. At more than 29 million ounces of gold, it represents almost half of the company’s total gold reserves.

The company lodged a Development Application for the Ridgeway Deeps project in October 2004. New capital expenditure is estimated at $100 million.

A further $109 million is going towards a feasibility study to reach the Cadia East deposit that could extend the mine’s lifespan to the middle of this century.

Havilah Resources’ recent gold strike near Broken Hill could see its mining fortunes turn around. Broken Hill has the infrastructure, the experienced and skilled workforce and the service companies to support explorers and operators.