In a rare move for the West Australian gold industry, Gold Industry Group founding member Doray Minerals is looking to hire up to 200 staff and contractors to operate its new Deflector gold-copper project.
Doray Minerals has secured $91.7 million in debt and equity to fund the development of the project, which is based in Western Australia’s southern Murchison region.
Doray Minerals managing director Allan Kelly said it was positive news for the State’s gold sector.
“With the slowdown in other areas of the mining industry such as iron ore and nickel, there is a wealth of experienced candidates available for a project like this,” Mr Kelly said.
“We are pleased to be able to offer employment to more West Australians during this time as we embark upon the next phase of growth for our company.”
The Deflector mine will become the company’s second operating gold mine alongside the flagship Andy Well Gold Project 45km north of Meekatharra and also in the Murchison region of WA.
Commissioning of the Deflector gold-copper project is expected to commence in mid-2016 with gold production estimated at 61,000 ounces of gold per annum.
The two gold mines are expected to produce a combined 160,000 ounces of gold and gold equivalent per annum (once the copper at Deflector is given an equivalent gold value).
The increase in the Australian-dollar gold price and decreasing diesel costs mean it is a good time to be building a new gold project, Mr Kelly said.
The Deflector mine has an initial mine life of six years with substantial exploration upside. Doray acquired the Deflector gold-copper project following its takeover of Mutiny Gold Limited in February 2015.