Armed with modern technology, mining companies determined to find what their predecessors couldn’t are buying up Victorian mining sites, in what some have called the ‘second gold rush’.
At the centre of what is often referred to as the ‘Golden Triangle’ (from Ballarat to Wedderburn and Tarnagulla to Ararat), lies Australia’s First Notable Town – Maldon. It is home to a gold processing plant and two historic mining sites, Union Hill and Nuggetty, which lead to a labyrinth of mines beneath the surface of the historic township.
In 2021, Kaiser Reef, which owns and operates a mine in the southwest of Tasmania, purchased the two Maldon mines, the gold processing plant on the outskirts of town, and the A1 mine, located 230km from Maldon.
Anticipating high yields from the untouched zones of the A1 mine, Kaiser quickly began operations. Disappointing results led the company to cease operations, and in 2025 they placed the A1 mine into ‘care and maintenance’ (not closed but not operating).
The gold production and exploration company then turned its attention to the Maldon mines and the beginning of the ‘Maldon Gold Project’.
To date, a helicopter survey has been done, reclamation works started and surface diamond drilling has commenced.
The helicopter survey included an airborne magnetic and radiometric survey over the northern part of the Maldon Goldfield, which will provide the company with geological information by measuring subtle variations in the Earth’s magnetic field and naturally occurring radiation.
Maldon Gold Project general manager Dylan Morgan said the data collected from the airborne survey, together with results from diamond drilling and surface sampling programs, would help their exploration team identify priority targets for further geological investigation.
“It will take approximately two months for the results to be processed, analysed and reported to us,” he said.
“Nuggetty Reef is one of several areas being targeted by our current exploration program and any new surface infrastructure would require the appropriate studies, consultation and approvals.”
Surface diamond drilling is now under way at Nuggetty South as part of a four-stage program focused on the Quill, Union Hill North, Nuggetty South and Nuggetty targets.
“Drilling has been completed at Quill and Union Hill North, and the drill will move to the final target at Nuggetty once Nuggetty South is completed,” Mr Morgan said.
“There are no other developed plans for surface drilling at this time, although we expect the recent Helicopter Survey combined with soil sampling results to identify several new drilling targets over the next three months.”
UNION HILL
Exploration and development works are under way at Union Hill Gold Mine, which has been in care and maintenance since 2019, in the hopes of entering into production.
“Decline refurbishment is expected to be ongoing over the coming years. We are focusing on the first 700m of the decline this year and will assess further plans beyond that,” he said.
“We are fully approved for underground mining, so access to mining fronts from our existing surface structure at Union Hill could commence straight away,” Mr Morgan said.
TAILINGS FACILITY
Kaiser Reef is currently undergoing work to expand its existing Tailings Storage Facility, and preparation works are currently under way for the construction of a new Tailings Storage Facility (TSF4) at the Porcupine Flat Processing Plant.
The new facility forms part of an approved Work Plan and Planning Permit and will provide additional storage capacity to support processing operations.
“It is envisaged that the existing TSF5 capacity, along with the new TSF4 capacity, will be sufficient for the remainder of the Union Hill Low Grade Ore currently being processed,” Mr Morgan said.
“Beyond that, upgrades to our existing facilities will be required to ensure business continuity, driven by exploration success.”
DAY-TO-DAY OPERATIONS
Mr Morgan told the Express that at present, one to two trucks were making about 20 trips a day between the Union Hill Mine and the Porcupine Flat Processing Plant.
“At full capacity, this number may double,” he said.
“Noise and dust levels are continuously monitored, with Trigger Action Response Plans in place and actions taken to further minimise impacts where necessary.
“Measures to help minimise noise impacts include installation of noise attenuation panels, noise bunds, regular equipment maintenance and time scheduling.”
The general manager said they were using a variety of measures to help minimise the impact of dust including: the use of a water cart, water sprays, and a wheel wash for vehicles exiting the Union Hill site.
“Community feedback is an important part of our process, helping us better understand the questions and concerns of our neighbours,” Mr Morgan said.
For community enquiries and feedback, email: community.maldon@kaiserreef.com.au