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West coast celebrates first gold poured at reopened Henty mine
Monday, 16 Jan 2017 13:44:19
Liquid gold … the first bars being produced at Henty are seen as a positive sign for the region. (The Mercury: Chris Kidd)
The Henty Gold mine on Tasmania's west coast has poured its first gold since returning to production.
The mine went into care and maintenance in 2015 costing 150 jobs, but returned to production last year when it was bought by Diversified Minerals.
More than 120 jobs have now been created with the mine's return to operation.
It is seen as a positive sign for the region, which has suffered a mining downturn in recent years.
Hundreds of jobs were lost at Queenstown's Mt Lyell copper mine when it closed three years ago after the deaths of three workers.
The mine's owners warn a reopening date will depend on improved global prices.
The pouring of the first gold at nearby Henty gold mine is being celebrated as evidence of a resurgence.
"While the mining industry has its ups and downs, and on the west coast they know them only too well, this is a really positive sign of growth in our economy," Premier Will Hodgman said.
Mine workforce 50 per cent local
The Henty Gold Mine entered care and maintenance at the end of 2015.
Diversified Minerals took over in June last year, with miners starting onsite in August.
General manager David Pelchen said the mine's future was looking bright.
"This mine has historically produced 1.5 million ounces in the 20-year mine life," he said.
"With the drilling and the modelling going on there's a 12-month plan we'll have rolled out to the end of June.
"At the moment we're at a reduced throughput, but it's obviously the company's aim to return it to full production."
Half of the employees are west coast locals and about 95 per cent are Tasmanian.
West Coast Mayor Phil Vickers said it was a much needed boost for the region.
"It's a great positive step for the region and I think it's a good demonstration of what one company couldn't do, another one has been able to do it," he said.
Plans for another mine proposed in the area by Venture Minerals have been shelved because of falling iron ore prices and legal challenges.
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