Subscribe for 12 months with recurring billing - $199

Buy 12 months of subscription time - $199

 

Search Gold Prices
Gold Price
[Most Recent Quotes from www.kitco.com]
Our RSS Feed

Gold Updates by Mail

Enter your email address:

Follow Us on Twitter
« Gold And The mining Stocks Come Alive | Main | James Dines – Gold’s Super Major Upwave III Will Have Its Day »
Wednesday
Jan232019

Miners discover gold, but few celebrating: New Zealand

New Talisman Gold Mines has spent $1.8 million over 18 months to get the century-old mine in Mount Karangahake near Waihi back in to production.

A small company wanting to extract gold from a mine on conservation land fears for the future of the industry in the face of red tape, local hostility and official indifference.

New Talisman Gold Mines has spent $1.8 million over 18 months to get the century-old mine in Mount Karangahake near Waihi back in to production.

It has a resource consent to extract 20,000 cubic metres of ore a year for sampling, and it estimates it could produce as much as 51,000 ounces of gold from the mine once it starts full commercial production.

The mine is on Department of Conservation land and the company has a permit to look for gold and silver for 25 years.

New Talisman chief executive Matthew Hill was excited by the prospect of gold, but said the operation had received little support.

"We really are left to work within the regulations," he said.

The company, which was borne out of a former owner of the mine Heritage Gold, has had a battle over the years to get the project underway, having to contend with promised investment failing to eventuate, constantly tapping shareholders for money to develop the mine, which has been a money loser.

It's also had a hard time from regulators, with the Australian stock exchange warning investors about the company's claims and forcing it to remove a study in June that was not independently backed up.

Not in our backyard

The mine has also attracted strong opposition from anti-mining groups, which battled it being granted various consents, and blocked access to the site.

The co-ordinator of the Coromandel Watchdog, Augusta Macassey-Pickard, said New Talisman was not welcome in the area.

"We are strongly opposed to any industrialisation of a conservation estate in New Zealand."

Ms Macassey-Pickard also has doubts about the company's size and strength.

"It is a fairly untried and untested company. I don't really see how a company like that, with nothing behind them, would be able to clean up any mess they make."

Mine manager Lincoln Smith said opposition was expected but protests at times had threatened the safety of mine workers.

"The average New Zealander doesn't really understand the industry at all. It's probably a little bit of ignorance," he said.

"The only reason we have mines is because people need the products. Gold's not just used for a shiny ring ... it is for everything from space travel to cellphones."

Hauraki District Council deputy mayor Toby Adams said the company had kept to itself, and done little to engage with the local community.

Mr Smith said the company's relationship with the community had improved, but it still felt isolated.

"The silence sometimes is fairly deafening and miners do feel like the unwanted industry in the country."

Energy and Resources Minister Megan Woods said the government wanted to better understand New Zealand's mineral estate and had granted funds and rolled out research projects to do that.

By Madison Reidy, , Business reporter


LINK

 

gold is dragging its feet at the moment but once the air waves mention rate cuts in the US gold and silver will fly....


If you would like to know which stocks we are buying and selling please join us atStock Trader our premium investment service.

Subscribe for 12 months with recurring billing - $199

Buy 12 months of subscription time - $199

If you are new to investment in the precious metals sector then you can subscribe of our FREE newsletters regarding gold stockssilver stocks and uranium stocks, just click on the links and enter your email address and we will email you our articles along with other interesting posts.

Please remember to check your spam folder once you have subscribed to ensure that our verification email has not gone astray and you are getting our emails.

 

 

 


 

Winners of the GoldDrivers Stock Picking Competition 2007 

 

 

 Follow us on TWITTER @goldprices

 

You can also follow us on Seeking Alpha just click onto one of our articles on Seeking Alpha and hit the FOLLOW Button.


PrintView Printer Friendly Version

EmailEmail Article to Friend

Reader Comments

There are no comments for this journal entry. To create a new comment, use the form below.

PostPost a New Comment

Enter your information below to add a new comment.

My response is on my own website »
Author Email (optional):
Author URL (optional):
Post:
 
Some HTML allowed: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <code> <em> <i> <strike> <strong>