Gunner cuts the ribbon at expanded Tanami

PERTH (miningweekly.com) – Northern Territory Chief Minister Michael Gunner has officially opened the $120-million expansion of US gold miner Newmont Mining’s Tanami operations.

The expansion is expected to increase Tanami’s gold production by 80 000 oz/y to between 425 000 oz/y and 475 000 oz/y of gold, lower all-in sustaining costs to between $700/oz and $750/oz, and extend the mine life by three years.

“About 120 jobs were created during construction of the expansion and up to 18 additional jobs will be created as a result of the expanded operations,” Gunner said this week.

“Newmont’s Tanami operation is one of the largest and most successful gold producers in Australia, and the expansion will extend the projected life of the mine by three years. This is great news for the Territory economy.”

Primary Industry and Resources Minister Ken Vowles said the government was working hard to support the sustainable development of the resources sector by simplifying processes and red tape.

“The resources sector is responsible for around 4 800 jobs in the territory and is a cornerstone of our economy,” Vowles said.

“A strong minerals sector means more jobs, so we are providing potential investors with geoscientific data and information, and simplifying and streamlining application processes.”

Newmont’s Tanami expansion included the construction of a 3.2 km second decline to underground workings and an increase in the size of the processing plant and mill. This involved adding a ball mill, thickener and gravity circuit to improve recoveries at the mill.

The mine has a 4.5-million-ounce gold reserve and has produced about eight-million ounces of gold since it opened in the early 1990s.

The expansion project reached commercial production at the start of September this year.