GOLDFIELDS EXPLORATION Rob Taylor, GM Exploration Exploration Strategy in an Evolving Company The...

GOLDFIELDS EXPLORATION

Rob Taylor, GM Exploration

Exploration Strategy in an Evolving CompanyExploration Strategy in an Evolving CompanyThe Goldfields ExperienceThe Goldfields Experience

GOLDFIELDS EXPLORATION

Exploration

And God help you if you get it wrong!

Explore in the Bust to Produce in the Boom...

GOLDFIELDS EXPLORATION

Kundana

M16/157

KUNDANA MINE LEASES

Pope John

Moonbeam

Charlie

Romeo

Juliet

BarkersPit Strezelecki

Pit

South LodePit

Fault

MineralisedStructure

Prospect

ResourceN

1 kilometre

GOLDFIELDS EXPLORATION

Raleigh

GOLDFIELDS EXPLORATION

Raleigh Stage 1 Pit Looking North

Raleigh VeinGabbro Volcanics

Paleochannel sands and alluvial fans

Alluvial Fans

Silcrete

Approx.Paleochannel

Limit

GOLDFIELDS EXPLORATION

Goldfields Share Price 1995 - 2001

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

3/0

7/9

5

3/1

0/9

5

3/0

1/9

6

3/0

4/9

6

3/0

7/9

6

3/1

0/9

6

3/0

1/9

7

3/0

4/9

7

3/0

7/9

7

3/1

0/9

7

3/0

1/9

8

3/0

4/9

8

3/0

7/9

8

3/1

0/9

8

3/0

1/9

9

3/0

4/9

9

3/0

7/9

9

3/1

0/9

9

3/0

1/0

0

3/0

4/0

0

3/0

7/0

0

3/1

0/0

0

3/0

1/0

1

3/0

4/0

1

Date

Aus

tral

ian

Dol

lars

GOLDFIELDS EXPLORATION

Goldfields - major changes since 1997

• Collapse of parent RGC; merger with Westralia Sands

• Takeover threats

• Heavy demand on cash

• Takeover of Gilt Edged Mining NL

• Major drought at Porgera

• Short mine lives at Henty, Paddington and Kundana

• Internal restructuring and cuts

• Separation of Goldfields

GOLDFIELDS EXPLORATION

Goldfields Exploration is expected:

• to discover economic mineralisation

• under attractive financial conditions

• in an area conducive to development

GOLDFIELDS EXPLORATION

Objectives for Goldfields Exploration

• Significantly increase resources at the Paddington,

Kundana and Henty mines

• New stand-alone deposits for growth

GOLDFIELDS EXPLORATION

The Exploration Pyramid

DISCOVERYDISCOVERY

FEASIBILITYFEASIBILITY

RESOURCE DEFINITIONRESOURCE DEFINITION

ID MINERALIZATIONID MINERALIZATION

ANOMALY TESTINGANOMALY TESTING

ANOMALY GENERATIONANOMALY GENERATION

PRE - FEASIBILITYPRE - FEASIBILITY

ENTRY/ENTRY/

DEVELOPMENTDEVELOPMENT

PROPERTY ACQUISITIONPROPERTY ACQUISITION

INP

UT

INP

UT

GENERATIVE INPUTGENERATIVE INPUT

ENTRY BARRIERENTRY BARRIER

FAIL

UR

E

FAIL

UR

E

GOLDFIELDS EXPLORATION

The Exploration Pyramid 1997

DISCOVERYDISCOVERY

FEASIBILITYFEASIBILITY

RESOURCE DEFINITIONRESOURCE DEFINITION

ID MINERALIZATIONID MINERALIZATION

ANOMALY TESTINGANOMALY TESTING

ANOMALY GENERATIONANOMALY GENERATION

PRE - FEASIBILITYPRE - FEASIBILITY

ENTRY/ENTRY/

DEVELOPMENTDEVELOPMENT

PROPERTY ACQUISITIONPROPERTY ACQUISITION

Old PloughOld PloughDamDam

MoriartyMoriartyMungariMungariKurrawangKurrawang

LeilaniLeilani

AphroditeAphrodite

BTZBTZ LTZLTZ

NorthlanderNorthlanderBonnievaleBonnievale

AnthonyAnthonySouth HentySouth Henty

Z15Z15

MountMountJuliaJulia

GOLDFIELDS EXPLORATION

Changing Economic Conditions

• BreEx fraud - gold price collapse - Asian crisis

• Continued squeeze on gold - cash is king

• Dose of realism

• Rush into dot com(ic)

GOLDFIELDS EXPLORATION

Goldfields Exploration Strategy

• Identify highly prospective districts

• Aggressively explore

• Acquire the ground

GOLDFIELDS EXPLORATION

Where Are We Now?

DISCOVERYDISCOVERY

FEASIBILITYFEASIBILITY

RESOURCE DEFINITIONRESOURCE DEFINITION

ID MINERALIZATIONID MINERALIZATION

ANOMALY TESTINGANOMALY TESTING

ANOMALY GENERATIONANOMALY GENERATION

PRE - FEASIBILITYPRE - FEASIBILITY

ENTRY/ENTRY/

Castle Hill, RayjaxCastle Hill, Rayjax

DEVELOPMENTDEVELOPMENT

Zuleika (general)Zuleika (general)

PROPERTY ACQUISITIONPROPERTY ACQUISITION

ParadigmParadigm

AphroditeAphrodite

CharlieCharlieValhallaValhalla

BTZ ScotiaBTZ ScotiaTemoraTemora

TasmaniaTasmania

MinaraMinara

RaleighRaleigh

GOLDFIELDS EXPLORATION

Bardoc Tectonic Zone - June 1997

KALGOORLIE

PADDINGTONPADDINGTON

00 1010 2020

kilometreskilometres

NN

KUNDANAKUNDANA

KANOWNA BELLEKANOWNA BELLE

SUPER PITSUPER PIT

Wendy GullyWendy Gully

PangloPanglo

GOLDFIELDS EXPLORATION

Bardoc Tectonic Zone - June 1999

KALGOORLIE

PADDINGTONPADDINGTON

00 1010 2020

kilometreskilometres

NN

KUNDANAKUNDANA

KANOWNA BELLEKANOWNA BELLE

SUPER PITSUPER PIT

Broad ArrowBroad Arrow

AphroditeAphrodite

GOLDFIELDS EXPLORATION

Bardoc Tectonic Zone - March 2001

KALGOORLIE

PADDINGTONPADDINGTON

00 1010 2020

kilometreskilometres

NN

KUNDANAKUNDANA

KANOWNA BELLEKANOWNA BELLE

SUPER PITSUPER PIT

Golden CitiesGolden Cities

SiberiaSiberia

AphroditeAphrodite

GOLDFIELDS EXPLORATION

Sill Zone

Zone 96

Intermediate Zone

Mount Julia

Henty ShaftHenty Shaft

Gold PlantGold Plantand Officesand Offices

Henty Mine, Western TasmaniaLongitudinal Projection - 1997

MJ02032.3m at 7.0g/t Au

Area of mineralisation

NORTHSOUTH

metres

0 500

GOLDFIELDS EXPLORATION

Sill Zone

Zone 96

Intermediate Zone

Zone 15

Tyndall Zone

Mount JuliaMount Julia South

Henty ShaftHenty Shaft

Gold PlantGold Plantand Officesand Offices

DeclineDecline

Henty Mine, Western TasmaniaLongitudinal Projection - 2001

NORTHSOUTH

Resource

0 500

metres

GOLDFIELDS EXPLORATION

Zuleika - June 1997

KUNDANAKUNDANA

KALGOORLIE

PADDINGTONPADDINGTON

KANOWNA BELLEKANOWNA BELLE

SUPER PITSUPER PIT

00 1010 2020

kilometreskilometres

NN

GOLDFIELDS EXPLORATION

Zuleika - June 1999

KUNDANAKUNDANA

KALGOORLIE

PADDINGTONPADDINGTON

KANOWNA BELLEKANOWNA BELLE

SUPER PITSUPER PIT

00 1010 2020

kilometreskilometres

NN

ParadigmParadigm

GOLDFIELDS EXPLORATION

Zuleika - August 1999

KALGOORLIE

PADDINGTONPADDINGTON

KANOWNA BELLEKANOWNA BELLE

SUPER PITSUPER PIT

00 1010 2020

kilometreskilometres

NN

KUNDANAKUNDANA

RomeoRomeo

GOLDFIELDS EXPLORATION

Zuleika - June 2000

KALGOORLIE

PADDINGTONPADDINGTON

KANOWNA BELLEKANOWNA BELLE

SUPER PITSUPER PIT

00 1010 2020

kilometreskilometres

NN

KUNDANAKUNDANA

WadiWadi

Mick AdamMick Adam

RayjaxRayjax

RomeoRomeo

GOLDFIELDS EXPLORATION

Zuleika - March 2001

KUNDANAKUNDANA

KALGOORLIE

PADDINGTONPADDINGTON

KANOWNA BELLEKANOWNA BELLE

SUPER PITSUPER PIT

00 1010 2020

kilometreskilometres

NN

Catherwood,Catherwood,PremierPremier

RalieghRalieghABC Line, PegasusABC Line, PegasusRubicon, HornetRubicon, Hornet

WhiteWhiteFoilFoil

CuttersCuttersRidgeRidge

MoonbeamMoonbeam

GOLDFIELDS EXPLORATION

Exploration