Menu

Australian Shares is the world's biggest free online database of information on Australian resource companies.

Time to Update your company profile
Australian Shares

DRAGON MINING LIMITED

ASX: DRA

The data on Australian Shares.com is intended as a guide only and is compiled from information in the public domain. Data on this website should not be used to make an investment or trading decision.

Description

Both in Sweden and Finland major mining and metal extraction industries have been in operation over many centuries. For much of the twentieth century these industries were primarily controlled by large Nordic companies and para-state organisations, with exploration largely driven by the need to support the existing mining and metal extraction infrastructure. As a result, the metallogenic potential of the Fennoscandian (or Baltic) Shield, which extends across much of Sweden and Finland remains under explored, in comparison to other similarly endowed Shields in Africa, Canada and Australia.

In the mid 1990ís there was a change in government policy to encourage broader based participation in the mining industry. Attracted by the potential of the Nordic Region, Dragon has now been active in this area for eight years and has the necessary local experience and projects to continue its growth.

Dragonís strategy in the short to medium term is for production growth from the development of two production centres. At the same time it is ensuring that both centres have a highly prospective land holding that would allow each to grow into a multi-mine operation. Svartliden in Sweden was the first of these production centres to be developed in 2005, whilst Vammala in southern Finland became the second, recommencing operations in June 2007.

Longer term growth will come from opportunities advancing through the exploration pipeline. These opportunities range in status from the resource definition stage Kuusamo gold-cobalt project to the highly prospective greenfields project, Hanhimaa in northern Finland. The efforts to secure prospective and strategic land holdings around the production centres and the identification of projects for the pipeline have been greatly aided by access to the historic Outokumpu exploration data base, which contains many decades of regional and focussed exploration data encompassing much of the Nordic Region.

An aggressive exploration strategy implemented by Dragon has resulted in exploration of the areas proximal to its two operating gold mines to advance, exploration activities recommencing on the Svartliden regional holding in northern Sweden and exploration work accelerating in the Hanhimaa region in far northern Finland. A sum of A$6.5 million was spent by the group on exploration in 2007 and included a total of 21,405 metres of drilling from both surface and underground.

Svartliden - Sweden

The Svartliden Gold Mine is located 700km north of Stockholm and south west of the Skellefte Mining District in an area that is developing into a gold rich province. Ore from Svartliden is currently mined by open-cut methods and processed through a conventional comminution and leach plant (CIL) with a design capacity of 300,000 tonnes per annum, which operates continuously throughout the year.

Svartliden was brought into production in March 2005 and was the first integrated mine and treatment plant to be developed under the new Swedish Environment and Mining Acts. The open-pit at Svartliden currently extends over 1,000 metres in length and will attain a maximum depth of 80 metres. By the end of 2010 the mine had produced 251,037 ounces of gold at a cash cost of US$497 per ounce, from 1.82 million tonnes of ore grading 4.76 g/t gold.

Orivesi - Finland

Mining from the Sarvisuo ore loads commenced in April 2008 with ore being processed at the Vammala Production Centre 80km to the southwest. Mining has been conducted from the 285m level to the 540m level with the decline being extended to 620m level. Since commencement 506,032 tonnes of ore have been mined and transported from Orivesi to Vammala.

Jokisivu - Finland

The Jokisivu Gold Mine is located 40 kilometres south west of the Vammala Production Centre and hosts a Measured, Indicated and Inferred Resource totalling 356,300 ounces from two desposits 200 metres apart. The Kujankallio deposit has been shown by drilling to extend to at least 525 metres depth, though resource drilling currently extends only down to 440 metres, whilst the Arpola resource has only been drilled down to 200 metres. Both remain open at depth, partially along strike, an may converse. Jokisivu became Dragon Miningís third operating mine in 2009, with the commencement of mining from the Kujankallio open pit in September 2009. Since commencement, 103,445 tonnes of ore mined have been mined and transported from Jokisivu to Vammala.

Vammala - Finland

The Vammala Production Centre is located in the Sastamala region in southern Finland, 165 kilometres northwest of Helsinki. This region is well endowed with gold and nickel mineralization, the Production Centre within close proximity of the operating Orivesi and Jokisivu Gold Mines. The process facility at Vammala is a 300,000 tonne per annum crushing, milling and flotation facility which was successfully recommissioned in June 2007. Since recommissioning the plant has produced 102,323 ounces of gold in concentrate, which is refined and smelted at the Harjavalta smelter, 60 kilometres west of the plant. Environmental permitting for the Vammala Production Centre is valid until 2016.

Mine For

gold, copper, lead, zinc

Location of operation(s)

Sweden, Finland, Australia

Address

Level 1, 173 Mounts Bay Road
PERTH, WA, AUSTRALIA

Phone

08 6311 8000

Email

Website


Last Updated

5/5/2011

 

The data on Australian Shares.com is intended as a guide only and is provided purely as an indication of what information can be found through official announcements. Data on this website should not be used to make an investment or trading decision. All information should be carefully cross-checked against official sources for accuracy. The publisher (Intaanetto Pty Ltd) will not be held liable for any loss arising from the use of this website.

Spacious and Lovely Gold Coast Holiday House