Western Mining in major search for ore reserves

Exploration near its producing properties has the highest priority in fiscal 1991-92 for large Australian mining company Western Mining Corporation Holdings.

“Half of the exploration expenditure this financial year is for this purpose, namely to find at least 900,000 oz. gold, 55,000 tonnes nickel and 6 million barrels of oil equivalent to replace current production,” said Chairman A.H. Parbo at the company’s annual meeting in Perth. “The other half of the expenditure is directed toward discovering ore deposits in new areas.”

While Western’s regional mineral exploration is concentrated in Australia, concerns such as land access, government regulation and lack of infrastructure in much of inland Australia have the company looking overseas. “Our mineral exploration in the U.S., Canada, Brazil, Chile and the Philippines reflect these facts,” Parbo said.

Western grew from a small gold exploration company in 1933 to a world-scale producer with major interests in nickel, gold and aluminum, and growing interests in copper, uranium and oil and gas.

Parbo said Western is expected to produce 65,000 tonnes nickel in concentrate annually within the next two or three years. Nickel in concentrate output for 1990-91 (Western’s fiscal year ends June 30) totalled 54,010 tonnes. The company, Australia’s largest gold producer, claimed gold production for its own account of slightly more than one million ounces for 1990-91. Western’s mining interests in Canada include property at Chibougamau, Que., and Gays River, N.S., and in the U.S. in Nevada, Oregon, Idaho and Michigan.