australia's identified mineral resources 2005 - Geoscience Australia
australia's identified mineral resources 2005 - Geoscience Australia
australia's identified mineral resources 2005 - Geoscience Australia
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AUSTRALIA’S IDENTIFIED MINERAL RESOURCES <strong>2005</strong><br />
New South Wales is the second largest holder of EDR with 6.9%, followed by Queensland 2.7%,<br />
Tasmania 0.2% and Northern Territory at 0.1%. Nickel <strong>resources</strong> in both New South Wales and<br />
Queensland are associated with laterite deposits, whereas EDR in Tasmania and Northern Territory<br />
are mostly sulphides.<br />
Subeconomic demonstrated <strong>resources</strong>, which account for about 8.9% of total <strong>identified</strong> <strong>resources</strong>,<br />
increased by 0.2 Mt during the review period. Paramarginal <strong>resources</strong> increased by 0.5 Mt while<br />
submarginal <strong>resources</strong> decreased by 0.3 Mt in 2004. Western <strong>Australia</strong> has 80% of submarginal<br />
<strong>resources</strong>.<br />
Inferred <strong>resources</strong> increased by 3.1 Mt (19%) to 19.5 Mt in 2004. Western <strong>Australia</strong> maintained its<br />
dominant share of inferred <strong>resources</strong> at just under 90% followed by Queensland with 7%.<br />
The ratio of inferred <strong>resources</strong> to EDR increased from 0.7:1 in 2003 to 0.9:1 in 2004.<br />
Accessible EDR<br />
Currently, all nickel EDR is accessible for mining. At the rate of production in 2004, AEDR of nickel<br />
(including both sulphide and laterite) are sufficient for an average of over 120 years.<br />
JORC Reserves<br />
Around 30% of AEDR comprise JORC Code reserve. Of this amount, over 30% occur in nickel<br />
sulphide deposits and the remaining in nickeliferous laterite deposits. The remaining 69% of EDR<br />
represents <strong>resources</strong> assessed by <strong>Geoscience</strong> <strong>Australia</strong> from the measured and indicated categories<br />
of industry reported <strong>mineral</strong> <strong>resources</strong>, as defined under the Code and other classification systems<br />
used by companies not listed on the <strong>Australia</strong>n Stock Exchange.<br />
Total JORC Code reserves of nickel are adequate for an average of 37 years at current rates of<br />
production.<br />
Exploration<br />
Expenditure on nickel-cobalt exploration during 2004, as reported by ABS, amounted to $118.2 million,<br />
an increase of 68% over the previous period. Western <strong>Australia</strong> attracted most of this expenditure<br />
with $104.4 million. Nickel exploration continued to target komatiite-hosted nickel sulphide and<br />
lateritic nickel deposits in the Yilgarn Craton (WA) and the mafic-ultramafic Giles Complex in Western<br />
<strong>Australia</strong> and South <strong>Australia</strong>. The East Kimberley region in northern Western <strong>Australia</strong> also attracted<br />
interest. Some of the exploration results of interest in 2004 include:<br />
■<br />
■<br />
WMC Resources Ltd & Falcon Minerals Ltd’s drilling at the Collurabbie project, 170 km northeast<br />
of the Mt Keith nickel mine (WA), indicated potential for a new nickel province. Drill intersections<br />
from the Olympia prospect include 5.77 m at 3.00% Ni, 1.96% Cu and 5.29 g/t PGMs from 279.43 m<br />
and 8 m at 1.23% Ni, 1.62% Cu and 3.84 g/t PGMs from 64 m. The Collurabbie project covers over<br />
500 km 2 of the northern extension of the Gerry Well Greenstone Belt. The <strong>mineral</strong>isation style<br />
and metal association at Collurabbie is regarded as unique in Western <strong>Australia</strong>. Diamond drilling<br />
intersected disseminated sulphide <strong>mineral</strong>isation over 7 km of strike in the first of two parallel<br />
<strong>mineral</strong>ised horizons. The Olympia Prospect occurs within the second <strong>mineral</strong>ised horizon.<br />
WMC Resources Ltd reporting that the Babel Ni-Cu-Co-PGM deposit in the West Musgrave region,<br />
discovered by WMC in 2000, has been drilled by 125 holes that indicate an inventory of<br />
<strong>mineral</strong>isation in the order of one million tonnes of nickel and one million tonnes of copper<br />
(with PGM and cobalt credits). A <strong>mineral</strong> resource had not been defined at the time of the<br />
announcement and further metallurgical studies are planned to evaluate the economics of the<br />
project. Drilling programs are planned for early <strong>2005</strong> to test for deep <strong>mineral</strong>isation at Babel<br />
and to target a significant electro-magnetic anomaly in the region.<br />
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