More uncertainty about Chatree closure

PERTH (miningweekly.com) – Thailand’s only gold mine, Chatree, which Australia-based Kingsgate Consolidated owns, may be closed before the government-ordered deadline of December 31, media reports have claimed.

Kingsgate Consolidated told shareholders on Tuesday that it had not received confirmation from Thailand about the premature closure of Chatree.

Thai media reports claim that the Ministry of Industry is discussing the legal implications of prematurely closing the Chatree gold mine and is conducting a study into the possibility of hazardous waste or contamination being caused by the mine.

Reports also state that the Ministry is considering establishing a mineral management committee to develop mining policies for mineral exploration, and that the Thai Cabinet has instructed the Ministry of Industry to consider the implications that the closure of the Chatree mine would have on the Free Trade Agreement between Thailand and Australia.

Kingsgate said it had not received any communication from the Thailand government in relation to these matters, and as such, was unable to assess what weight should be given to the media reports.

Meanwhile, Kingsgate is continuing with its $3-million exploration programme at its Nueva Esperanza project, in Chile, with the remainder of the exploration season focused on detailed geological mapping, surface sampling, air-blast and reverse circulation drilling.