The Paddington Gold Mine Project a Case Study

In 1980 Pancontinental Mining Limited decided that while the Jabiluka uranium project was still a major focus of the company's efforts some diversification was necessary. At this time it was decided to include precious metals in Pancon's exploration and acquisition objectives. As a result the now Paddington Gold tenements were acquired, explored and developed. Today, it rates as the 6th largest gold mine in Australia and at an expanded throughput of 1.2 million tonnes per year of ore it will produce about 110,000 ozs of gold per year. Following extensive exploration activities by Pancon's Exploration Division the Operations Division continued with development drilling finally proving up a reserve of about 8.4 million tonnes at an average grade of 3.2 g/t. An in- house preliminary feasibility study was followed by a two phase feasibility study by Davy McKee. This resulted in a recommendation to the Pancon Board of Directors to develop Paddington with an annual throughput capacity of 875,000 tonnes. This paper describes the acquisition, exploration and development of the Paddington project. It goes on to