Tanami Expansion 2 project : Newmont Goldcorp to move ahead with Tanami gold mine expansion
Tanami Expansion 2 project : Newmont Goldcorp is set to increase its gold production in Australia after its board of directors approved the second expansion of the Tanami gold mine in the Northern Territory, as per the latest mining industry news.
The Tanami gold mine is located 590 miles southwest of Darwin and 350 miles northwest of Alice Springs.
The expansion of the Australian gold mine is likely to cross Newmont Goldcorp’s required internal rate of return with profitable production and mine life extending past 2040.
The decision to move ahead with the Tanami Expansion 2 project represents a new and major milestone for the operation, said Newmont Goldcorp. The Tanami gold mine, which started production in 1986, has yielded over 10 million ounces of gold.
Last year, the Australian gold mine saw a production of 505,000 ounces.
Tanami Expansion 2 project : Newmont Goldcorp to go ahead with Tanami gold mine expansion. Photo: Business Wire
Commenting on the Tanami Expansion 2 project, Tom Palmer – President and CEO, said: “The approval of our second expansion project at Tanami in Australia will further improve costs and extend the life of this world class mine in a core Newmont Goldcorp jurisdiction.
“Building on the success of the first expansion completed in 2017, Tanami Expansion 2 will provide a platform to further explore the area’s prolific mineral endowment and potentially extend the operation’s mine life beyond 2040. The Tanami district and Australia as a whole continue to offer significant value generating opportunities for our shareholders.”
According to Newmont Goldcorp, the Tanami expansion project is centered on the Auron deposit, which was discovered in 2008, and located under the original Callie orebody and, the recent follow up discoveries of Federation and Liberator.
The Tanami Expansion 2 project will see the construction of a 1,460 meter shaft, expanded capacity for the processing plant, and supporting infrastructure to facilitate profitable recovery of ore at depth to 2,140 meters under surface.
Earlier this month, Newmont Goldcorp started commercial production from the Borden gold mine located near Chapleau, Ontario. The gold mining giant recently started commercial production from the expanded Ahafo Mill in Ghana which processes ore extracted from the Ahafo gold mine in Ghana.