Tarnagulla Gold Mine

The Tarnagulla Gold Project in Central Victoria, Australia, was developed and operated by Reef Mining NL between 1994 and early 2000, producing 53 000 ounces of gold from the Nick O'Time Shoot, a single narrow vein shoot structure within part of the larger Poverty Reef, with a strike length ranging from 30 in to 60 m. The ore shoot was developed over a vertical interval of 190 m, using a small cross-section decline and small, mechanised equipment. Various stoping methods were employed including mechanised cut-and-fill with a single boom jumbo, hand-held mining using airleg drills and rope scrapers, and small uphole retreat stopes using a line of sight remote operated LHD to recover a crown pillar. Experience during stoping showed that airleg drilling and rope scrapers gave much better dilution control than diesel equipment. Innovations included a low-cost hydraulic fill system. Due to the small scale of the deposit, the feasibility studies, planning and permitting for the mine were based on very limited drilling information; however, the mine was brought into production within two years of the discovery. While the mine made an operating profit, it failed to fully repay capital at the low gold price then prevailing. Applying the lessons learned from the operation to optimise the access and stoping method, the project is re-examined at today's gold price and operating costs. Central Victoria has the potential to host many similar small deposits. The authors were respectively Non-Executive Director and Resident Manager for Reef Mining NL when the mine was operating.