Gold for three in a row says mining leader at Diggers

By Ross Louthean The man who has successfully either revved-up or cautioned the mining industry at Diggers and Dealers Mining Forum for the past 14 years has predicted that gold and copper prices will rise further in 2025. Evolution Mining executive chairman Jake Klein told the Kalgoorlie conference that he was going for a hat-trick of years for a gold price increase. One of the aces in Evolution’s hand is the Ernest Henry operation in North-West Queensland. Main image: Jake Klein addressing 2024 Diggers and Dealers in Kalgoorlie The Ernest Henry copper-gold mine was established as the country’s lowest-cost gold operation and produced 55,000 oz gold in the past year and recently announced its highest grade intersection of gold and copper. The gold price earlier today was more than more than $A3600/oz. When he began in the industry the gold price was around $A500/oz, Mr Klein said. There had been three fundamental changes in the industry in the past 30 years, he said. They included the move from globalisation to tribalism, which has seen political control change regularly in some countries, the massive swing to technology investment and the swing in university enrolments from mining to technology, he said. Fund managers and other big investors have swung towards technology and this has now seen Apple caplitalised at $US300 trillion, more than the market value of all listed mining companies. Mr Klein said issues such as military spending had seen interest increasing for copper, and this metal now represents 30 per cent of Evolution’s revenue. Evolution now has reserves of 33 million oz gold and 3.5M tonnes of copper and has been increasing both production and life span with a focus on existing assets. Australia’s most sustainable low-grade gold project has been Mount Rawdon in Queensland, which was started years ago by former Diggers & Dealers chairman Nick Giorgetta. Two years of Evolution ownership has produced 2Moz. The site is scheduled for conversion into a pumped hydro facility when mining finishes next year. The North Parkes mine in New South Wales, taken over by Evolution, has produced $74 million in revenue and is set for a 70-year mine life. The acquired Cowal mine in NSW generated $1.14 billion in revenue, has new underground workings and has extended its mine life from 2014 to 2040. “The best years are ahead,” Mr Klein said. Mungari near Coolgardie in WA has extended reserves, helped by regional acquisitions, and has lifted mill capacity to 4.2 million tonnes per annum. Mr Klein said a major challenge for Australia was in seeing mining education enrolments lifted as too many students were being drawn into technology courses. You may also like: https://industryqld.com.au/mining-battalion-urged-to-address-rare-earth-disparity/

Gold for three in a row says mining leader at Diggers

Industry Queensland

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