SIX businesses have advanced through the tender process to be considered for minerals exploration licences in a region stretching from Mort Lake to Dimboola known as the Stavely Arc.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
State Resources Minister Tim Pallas announced the outcome of the tender process for the project in St Arnaud on Monday.
The six successful companies were Westrock Minerals, Stavely Minerals, Gippsland Prospecting, Century Minerals, WIM Resource, and P.S and G.F. Forwood.
Those companies will now apply for exploration licences and the minister said that low-impact exploration could begin as soon as early 2019.
Low-impact exploration involves surveying activities through magnetic or electrical instruments, selective drilling, ground mapping, rock sampling, and water and soil testing.
If the exploration is successful and gold is found in sufficient quantities, the minister said it could trigger a gold mining “boom.”
“If there is gold or copper in the Stavely Arc, these explorers will find it – which could lead to a major mining boom in western Victoria,” he said.
The state government is investing heavily in the industry, and expects private investment will also boost the regional economy.
“Through the tender the Victorian government is making available over $2 million of Target Minerals exploration grants,” Mr Pallas said.
“The tenders that are available for the six successful tenderers foreshadow at least $20 million in total investment over five years in exploration for gold, copper, and other metals.
“This is $18 million higher than the minimum expenditure required for the exploration licence.”
Navarre Minerals managing director Geoff McDermott said that there was “huge, untapped potential” for new gold discoveries in western Victoria off the back of the gold finds being made at the Fosterville Gold Mine.
“This is an example of areas in Victoria where you can still walk around and get gold on the surface,” he said.
Northern Grampians Shire mayor Tony Driscoll thanked the state government for its leadership on mining and exploration.
“We need the exploration. There’s a heap of wealth there that’s got to be unearthed but someone’s got to lead the way,” he said.
Mr Pallas said the government expects about $5 million in capital input from the successful tenderers in total, and if exploration is successful local investment could top $2 billion and create about 800 jobs.
An objection period will be opened for 21 days, with the dates still to be announced.
Correction: the original version of this article, published on Monday October 22, stated that Navarre Minerals was one recipient of the tender. This was incorrect. Navarre helped launch the tender announcement on Monday but was not a recipient.
