Mt Todd gold project receives Department of Environment and Energy approval

A PRELIMINARY feasibility study and the recent Commonwealth Government approval for “controlled activity” at the Mt Todd gold project is expected to unlock the development, Vista Gold has told investors

A feasibility study is expected to help kickstart development if the Mt Todd gold mine. Picture: SUPPLIED

A PRELIMINARY feasibility study and the recent Commonwealth Government approval for “controlled activity” at the Mt Todd gold project is expected to unlock the development, Vista Gold has told investors.

In an early morning statement, Vista’s president and chief executive officer, Frederick H. Earnest said the project had been approved by the Department of Environment and Energy under the Australian Environmental Protection and Biodiversity Conservation Act.

The area is home to a population of Gouldian finches. Mt Todd is said to be one of the largest known undeveloped gold resources in Australia with the potential to deliver 7.6 million ounces.

“The EPBC authorisation is a watershed event for the company,” Mr Earnest said. “With this authorisation, Vista has all the major environmental approvals necessary to allow development of Mt Todd.

“We also plan to announce the results of an updated preliminary feasibility study for the Mt Todd project shortly. We expect that the results of the new PFS, together with the environmental authorisation, will position us to unlock what we expect to be the significant value of Mt Todd.”

Resources Minister Ken Vowles described the approval and subsequent announcement as “exciting”.

“This is a critical milestone for Vista Gold and their Mt Todd project,” he said.

“The reopening of this project has the potential to deliver great things for the Territory including real jobs for Territorians and a boost for the Katherine region.”

The Jawoyn Aboriginal Association Corporation will benefit from any project which moves forward. Vista must offer JAAC the opportunity to establish a joint venture with Vista holding 90 per cent and the JAAC holding a 10 per cent participating interest.

JAAC will also be entitled to an annual cash payment, or payment in kind, equal to 1 per cent of the value of the annual gold production from the current Mining Licenses.