After a quiet five years mining companies want to explore Tasmania again

Tasmania’s exploration sector is firing up with mining companies lodging a flurry of applications for licences to hunt for gold and other minerals across the State. WHERE THEY WANT TO DIG >>

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TASMANIA’S exploration sector is waking up with mining companies lodging a flurry of applications for licences to hunt for gold and other minerals across the State.

“Tasmania has had more applications to look for minerals in the last three months than in years before,” Tasmanian Minerals, Manufacturing and Energy Council chief executive Ray Mostogl said.

“There has been reduced activity in the exploration sector here for the last five years and coronavirus put a complete stop to it.

“But there has been a flurry of applications lately including 10 from one company looking for gold in the State’s North East.”

Tasmanian Minerals, Manufacturing and Energy Council chief executive Ray Mostogl. Picture: SUPPLIED

Stellar Resources is eyeing off Victorian-style gold targets, like those linked to the famed Ballarat and Bendigo gold belt, in Tasmania’s top eastern corner.

The company said the region remained largely unexplored but already hosted the Beaconsfield Gold Mine (which has sold to NQ Minerals and is expected to be back in production this year) and the Lefroy goldfield.

An application for an exploration licence has also been lodged by Eastern Victoria Gold Exploration to look for gold in the Huon Valley outside Geeveston.

Another application was advertised at the weekend by Argent Minerals Limited which wants to hunt for minerals near Tullah.

Mr Mostogl said to took 20 explorers looking for one prospect to become a working mine.

“But the technology to find resources is improving all the time too with non-evasive methods like sonar hanging off helicopters,” he said.

“And they are not just looking for historical minerals like gold and iron ore but those overlooked in the past. They are critical minerals for the next generation of renewable energy projects and other technology such as tungsten, lithium and silica.”

The latest Australian Bureau of Statistics figures show mineral exploration spending last financial year fell to its lowest level since late 2004.

Spending in the year to the end of June totalled $11 million, down from $19.3 million in the previous year.

Exploration also fell nationally fell by 6.8 per cent.

Mr Mostogl said the ABS figures did not include activity on brownfield sites so could be conservative compared to what is happening on the ground.

The Tasmanian Government has put together a support package for the exploration sector including fee and rental relief and a EDGI grants program aimed at driving up exploration.