Newmont scotches Kalgoorlie drill rumours

Newmont Mining, Australia's largest gold producer, says it will not search for gold beneath the main street of the historic gold mining town of Kalgoorlie.

Newmont Mining says its exploration program at Kalgoorlie will not encroach on the historic gold rush town.

Australia's largest gold producer says its focus is to the east of town and not beneath Kalgoorlie's historic Hannan Street.

Newmont Asia Pacific regional senior Vice President Tom Palmer said the US-based company's syndicate was drilling around Kalgoorlie.

"Kalgoorlie Consolidated Gold Mines' (KCGM) drilling will be out in the central corridor to the east side of town," Mr Palmer told reporters in Kalgoorlie on Monday.

"Our exploration will be around the lease that we sit on."

KCGM is a joint venture between Newmont and Barrick Gold and operates the massive Superpit open pit mine which has a limited mine life.

Mr Palmer said there was "nothing to report" about a hole already been drilled in Kalgoorlie.

"We've got a well thought out exploration plan, we're looking in the right areas, we've found Hidden Secret and that's where we think our exploration dollar will deliver benefit from in the years to come."

Newmont began developing the Hidden Secret deposit, an extension of the Mount Charlotte underground mine, this month.

"That'll extend the mine out to 2018 and we hope that provides a platform for us to do some more exploration," he said.

Mr Palmer added that the company was not planning to take full ownership of the Superpit from Barrick.

"It's not high on our priority list," he said.


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Source: AAP


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