Photo by: Reuters
PERTH (miningweekly.com) – There is still opportunity for significant gold discovery in Western Australia, according to state Mines and Petroleum Minister Sean L’Estrange.
He highlighted ASX-listed Gold Road Resources’ recent greenfield discovery at its Gruyere project as the perfect example of the importance of creating an environment that encouraged investment in exploration and development in the state’s resources industry.
The Gruyere project was expected to deliver some 265 000 oz of gold over a mine life of 12 years, and would require a capital investment of around A$455-million.
"The mines of tomorrow are built on such discoveries, as are the jobs, royalties and other economic benefits vital for Western Australia's continued prosperity," L’Estrange said on Tuesday.
"It is incredible to think that more than 130 years after gold was first discovered in the State, significant deposits such as Gruyere are still being found in the region. It also highlights the vast mineral potential that exists, even after more than a century of mining."
The gold sector currently provides more than 20 000 jobs in Western Australia and was valued at around A$9.5-billion in 2015.
The Minister noted that the state government was working to continue growth in the gold sector through its Exploration Incentive Scheme, which also supported the discovery of the Gruyere project.
Every A$1-million invested in the scheme stimulates exploration activity generating A$10.3-million in direct benefits for Western Australia with a long-term benefit of A$23.7-million.
"The scheme has been instrumental in increasing the geological knowledge of our state, while the scheme's co-funded drilling programme has supported 20 major discoveries, including the Gruyere deposit," said L'Estrange.
"As Mines and Petroleum Minister, I am determined to continue creating opportunities in Western Australia's resources sector. It is a sector that is critical to WA's economic prosperity and the continued prosperity of local communities," he concluded.