Photo credit: Aggreko
Despite an increase in export and revenue, gold output in the alluvial mining industry has remained stable for the past 13 years, according to an official.
Export income has increased from K100 million to over K600 million yearly in 2019 and 2020, according to Mineral Resource Authority managing director Jerry Garry.
However, he stated that manufacturing maintained at approximately 100,000 units.
Gary believed that if mechanised mining operations such as the usage of excavators, trammel, and other mechanised processing facilities were utilized, gold production might grow.
Unfortunately, he added, the alluvial industry has not moved into specialized mechanised processing facilities because finance institutions were wary of the significant investment risks involved.
Gary said that unlike hard rock mining, where the distribution of metals such as gold or copper could be predicted with a high degree of certainty, alluvial mining deposits could not.
“There is no uniformity in the distribution of alluvial gold in an alluvial deposit,” he said.
“So you cannot be sure exactly to ascertain the volume of sediment to come up with how much gold is in that deposit.”
Gary stated that this will be discussed at the alluvial mining conference in Lae.
“Once we get some understanding and if we can minimise the risk, then financial institutions will be comfortable in investing,” Gary said.
Reference: Bauai, Gloria. The National (23 September 2021). “Garry: Gold production stagnant”.
