Telfer Mine
Encyclopedia
The Telfer Mine is a copper and gold mine
located at Telfer
, in the Great Sandy Desert
of Western Australia
. It is owned by Newcrest Mining
, Australia
's largest gold producer.
The mine was discovered by Newmont Mining
in 1972, however, French
prospector
Jean-Paul Turcaud
disputes this claim to this day.
The mine is located on the land of the Martu
indigenous people
.
In the 2008-09 financial year, the mine produced 32,905 tonnes of copper and 629,108 ounces of gold, within Newcrest's overall production of 90,000 tonnes of copper and 1.6 million ounces of gold. Telfer is one of three gold mines Newcrest currently operates in Australia, the other two being Cadia in New South Wales
and Cracow in Queensland
. A fourth gold mine owned by the company is the Gosowong Mine in Indonesia
.
but continued his claim, demanding a Royal Commission
. Turcaud continues to sign posts on Global warming
to newspapers as the Discoverer of the Telfer and Nifty Mine.
The official story of the discovery states that the deposit was found by Day Dawn Minerals, a small exploration company, who did not stake a claim either. One of the company's geologists, a man called Ronnie Thomson, then moved on to work for Newmont, in which position he informed David Tyrwhitt, then exploration manager for the company in Western Australia, about the promising gold samples that had been found. Newmont paid Day Dawn $15,000 for the maps of the deposit and Tyrwhitt staked out the claim in May 1972.
and Newmont Mining. In 1990, a merger between Newmont Australia Limited and BHP Gold Limited resulted in the creation of Newcrest Mining
, with ownership of the Telfer Mine now laying with Newcrest. The Telfer gold mine was expanded in 1991, and in June 1995, the mine reserves were 3.8 million troy ounce
s, with resources at 7.3 million troy ounces. The annual production was 370,000 to 380,000 troy ounces of ore. In 1997, the mine reached the milestone of having produced 5 million ounces of gold. Open cut mining was suspended in August 2000 due to high operating costs. The closure of the mine came one year ahead of schedule as production of underground ore was well below mill capacity and therefor not viable. High production costs were primarily caused by the presence of cyanide soluble copper in the open pit ore. Newcrest then focused on exploratory drilling for new minerals.
. The Telfer mine is not connected to the Western Australian power grid but instead produces its own power from natural gas
via a 450 km purpose built pipeline. The power station on site is able to produce 138 MW
of power. The focus changed from open pit mining to underground mining, and Telfer became one of Australia's largest gold mines, second only to Kalgoorlie's Super Pit
.
The mine reopened in November 2004, after commissioning of the processing plant and, initially as an open cut mine, from March 2006 also with an underground operation.
In January 2008, Newcrest Mining lowered the mine's annual gold output targets. Newcrest said, "At Telfer, mechanical availability of the open pit mining fleet and the processing of harder ores are impacting the expected production profile for the full year. Telfer site cash costs are expected to [rise] over guidance by 8-9 per cent." In June, the mine was affected by the state-wide gas crisis
caused by an explosion at Varanus Island
. The mine lost 20,000 to 25,000 troy ounces of gold output for June. Newcrest obtained interim gas supply from Woodside Petroleum
until August, when gas supply from Varanus Island resumed.
Newcrest was forced to cut job numbers from 1,400 to around 1,000 in late 2008, during the financial crises, to reduce costs.
As of 2010, the forecast mine life for Telfer is 2017 for the underground operations and 2023 for the open pit operations. Mining is carried out at the Main Dome open pit and the underground operations below. The West Dome pit is not mined anymore.
Gold mining
Gold mining is the removal of gold from the ground. There are several techniques and processes by which gold may be extracted from the earth.-History:...
located at Telfer
Telfer, Western Australia
Telfer is a minesite in the Pilbara region of Western Australia, within the Great Sandy Desert. Telfer was previously the state's most isolated town, located north-east of the state capital Perth...
, in the Great Sandy Desert
Great Sandy Desert
The Great Sandy Desert is a desert located in the North West of Western Australia straddling the Pilbara and southern Kimberley regions. It is the second largest desert in Australia after the Great Victoria Desert and encompasses an area of...
of Western Australia
Western Australia
Western Australia is a state of Australia, occupying the entire western third of the Australian continent. It is bounded by the Indian Ocean to the north and west, the Great Australian Bight and Indian Ocean to the south, the Northern Territory to the north-east and South Australia to the south-east...
. It is owned by Newcrest Mining
Newcrest Mining
Newcrest Mining Limited engages in the exploration, development, mining and sale of gold and gold-copper concentrate. Newcrest is an Australian based Company which initially incorporated in Victoria in 1980. Today it has become Australia’s leading gold mining company...
, Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
's largest gold producer.
The mine was discovered by Newmont Mining
Newmont Mining
Newmont Mining Corporation , based in Denver, Colorado, USA, is one of the world's largest producers of gold, with active mines in Nevada, Indonesia, Australia, New Zealand, Ghana and Peru. Holdings include Santa Fe Gold, Battle Mountain Gold, Normandy Mining, Franco-Nevada Corp and Fronteer Gold...
in 1972, however, French
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
prospector
Prospecting
Prospecting is the physical search for minerals, fossils, precious metals or mineral specimens, and is also known as fossicking.Prospecting is a small-scale form of mineral exploration which is an organised, large scale effort undertaken by mineral resource companies to find commercially viable ore...
Jean-Paul Turcaud
Jean-Paul Turcaud
Jean-Paul Turcaud is a French mining pioneer, and one of many claimants to the discovery of the Telfer Mine in Western Australia, for a time Australia's largest gold mine. The discovery of this prospect is officially attributed to David Tyrwhitt for Newmont Mining in 1972.-Early life:Jean-Paul...
disputes this claim to this day.
The mine is located on the land of the Martu
Martu (Indigenous Australian)
Mardu are an Australian Aboriginal people of the Western Desert. Their lands include the Percival Lakes and Pilbara regions in Western Australia...
indigenous people
Australian Aborigines
Australian Aborigines , also called Aboriginal Australians, from the latin ab originem , are people who are indigenous to most of the Australian continentthat is, to mainland Australia and the island of Tasmania...
.
In the 2008-09 financial year, the mine produced 32,905 tonnes of copper and 629,108 ounces of gold, within Newcrest's overall production of 90,000 tonnes of copper and 1.6 million ounces of gold. Telfer is one of three gold mines Newcrest currently operates in Australia, the other two being Cadia in New South Wales
New South Wales
New South Wales is a state of :Australia, located in the east of the country. It is bordered by Queensland, Victoria and South Australia to the north, south and west respectively. To the east, the state is bordered by the Tasman Sea, which forms part of the Pacific Ocean. New South Wales...
and Cracow in Queensland
Queensland
Queensland is a state of Australia, occupying the north-eastern section of the mainland continent. It is bordered by the Northern Territory, South Australia and New South Wales to the west, south-west and south respectively. To the east, Queensland is bordered by the Coral Sea and Pacific Ocean...
. A fourth gold mine owned by the company is the Gosowong Mine in Indonesia
Indonesia
Indonesia , officially the Republic of Indonesia , is a country in Southeast Asia and Oceania. Indonesia is an archipelago comprising approximately 13,000 islands. It has 33 provinces with over 238 million people, and is the world's fourth most populous country. Indonesia is a republic, with an...
.
Discovery
Newmont Mining first made a claim to the deposit in 1972. This claim, however is disputed by Jean-Paul Turcaud to this date. Turcaud claims he found the Telfer deposit two years before Newcrest did. In the early 1980s, Turcaud reached a settlement, accepting $25,000 from Newmont's head office in New YorkNew York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
but continued his claim, demanding a Royal Commission
Royal Commission
In Commonwealth realms and other monarchies a Royal Commission is a major ad-hoc formal public inquiry into a defined issue. They have been held in various countries such as the United Kingdom, Australia, Canada, New Zealand, and Saudi Arabia...
. Turcaud continues to sign posts on Global warming
Global warming
Global warming refers to the rising average temperature of Earth's atmosphere and oceans and its projected continuation. In the last 100 years, Earth's average surface temperature increased by about with about two thirds of the increase occurring over just the last three decades...
to newspapers as the Discoverer of the Telfer and Nifty Mine.
The official story of the discovery states that the deposit was found by Day Dawn Minerals, a small exploration company, who did not stake a claim either. One of the company's geologists, a man called Ronnie Thomson, then moved on to work for Newmont, in which position he informed David Tyrwhitt, then exploration manager for the company in Western Australia, about the promising gold samples that had been found. Newmont paid Day Dawn $15,000 for the maps of the deposit and Tyrwhitt staked out the claim in May 1972.
First mining period 1977 to 2000
The mine opened in 1977 as a joint venture between BHP BillitonBHP Billiton
BHP Billiton is a global mining, oil and gas company headquartered in Melbourne, Australia and with a major management office in London, United Kingdom...
and Newmont Mining. In 1990, a merger between Newmont Australia Limited and BHP Gold Limited resulted in the creation of Newcrest Mining
Newcrest Mining
Newcrest Mining Limited engages in the exploration, development, mining and sale of gold and gold-copper concentrate. Newcrest is an Australian based Company which initially incorporated in Victoria in 1980. Today it has become Australia’s leading gold mining company...
, with ownership of the Telfer Mine now laying with Newcrest. The Telfer gold mine was expanded in 1991, and in June 1995, the mine reserves were 3.8 million troy ounce
Troy ounce
The troy ounce is a unit of imperial measure. In the present day it is most commonly used to gauge the weight of precious metals. One troy ounce is nowadays defined as exactly 0.0311034768 kg = 31.1034768 g. There are approximately 32.1507466 troy oz in 1 kg...
s, with resources at 7.3 million troy ounces. The annual production was 370,000 to 380,000 troy ounces of ore. In 1997, the mine reached the milestone of having produced 5 million ounces of gold. Open cut mining was suspended in August 2000 due to high operating costs. The closure of the mine came one year ahead of schedule as production of underground ore was well below mill capacity and therefor not viable. High production costs were primarily caused by the presence of cyanide soluble copper in the open pit ore. Newcrest then focused on exploratory drilling for new minerals.
Second mining period from 2002
In 2002, Newcrest Mining announced a new redevelopment project worth $1 billion, after discovering new mineral areas and a reserve base of some 19 million troy ounces of gold and 640000 tonne of copper. The redevelopment expanded underground mining areas, deepened open pits, constructed a processing plant and power station, and built a new gas supply line from Port HedlandPort Hedland, Western Australia
Port Hedland is the highest tonnage port in Australia and largest town in the Pilbara region of Western Australia, with a population of approximately 14,000 ....
. The Telfer mine is not connected to the Western Australian power grid but instead produces its own power from natural gas
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
via a 450 km purpose built pipeline. The power station on site is able to produce 138 MW
Watt
The watt is a derived unit of power in the International System of Units , named after the Scottish engineer James Watt . The unit, defined as one joule per second, measures the rate of energy conversion.-Definition:...
of power. The focus changed from open pit mining to underground mining, and Telfer became one of Australia's largest gold mines, second only to Kalgoorlie's Super Pit
Super Pit gold mine
The Fimiston Open Pit, colloquially known as the Super Pit, is Australia's largest open cut gold mine. The Super Pit is located off the Goldfields Highway on the south-east edge of Kalgoorlie-Boulder, Western Australia. The pit is oblong in shape and is approximately 3.5 kilometres long, 1.5...
.
The mine reopened in November 2004, after commissioning of the processing plant and, initially as an open cut mine, from March 2006 also with an underground operation.
In January 2008, Newcrest Mining lowered the mine's annual gold output targets. Newcrest said, "At Telfer, mechanical availability of the open pit mining fleet and the processing of harder ores are impacting the expected production profile for the full year. Telfer site cash costs are expected to [rise] over guidance by 8-9 per cent." In June, the mine was affected by the state-wide gas crisis
2008 Western Australian gas crisis
The Western Australian gas crisis was a major disruption to natural gas supply in Western Australia, caused by the rupture of a corroded pipeline and subsequent explosion at a processing plant on Varanus Island, off the state's north west coast on 3 June 2008...
caused by an explosion at Varanus Island
Varanus Island
Varanus Island is the largest of the Lowendal Islands, an archipelago off the north west coast of Western Australia, near Karratha in the Pilbara region...
. The mine lost 20,000 to 25,000 troy ounces of gold output for June. Newcrest obtained interim gas supply from Woodside Petroleum
Woodside Petroleum
Woodside Petroleum Limited is an Australian petroleum exploration and production company. It is a public company listed on the Australian Securities Exchange and has its headquarters in Perth, Western Australia.-History:...
until August, when gas supply from Varanus Island resumed.
Newcrest was forced to cut job numbers from 1,400 to around 1,000 in late 2008, during the financial crises, to reduce costs.
As of 2010, the forecast mine life for Telfer is 2017 for the underground operations and 2023 for the open pit operations. Mining is carried out at the Main Dome open pit and the underground operations below. The West Dome pit is not mined anymore.
Gold
| Year | Production | Grade | Cost per ounce |
| 1999 | 314,295 ounces | 1.33 g/t | A$ 390 |
| 2000 | 176,000 ounces | 1.62 g/t | A$ 494 |
| 2001–2003 | inactive | ||
| 2004-05 | 218,000 ounces | ||
| 2005-06 | 650,000 ounces | ||
| 2006-07 | 627,000 ounces | ||
| 2007-08 | 590,000 ounces | ||
| 2008-09 | 629,108 ounces | ||
| 2009-10 | 688,909 ounces | ||
Copper
| Year | Production | Grade | Cost |
| 2004-05 | 25,000 tonnes | ||
| 2005-06 | 38,000 tonnes | ||
| 2006-07 | 28,000 tonnes | ||
| 2007-08 | 27,000 tonnes | ||
| 2008-09 | 32,905 tonnes | ||
| 2009-10 | 34,815 tonnes |
Sources
- The Australian Mines Handbook: 2003-2004 Edition, Louthean Media Pty Ltd, Editor: Ross Louthean
- Western Australian Mineral and Petroleum Statistics Digest 2008 Page 34: Principal Mineral and Petroleum Producers - Gold