Castlemaine Goldfields Limited (CGT) is Exploring for Gold in the Victorian Goldfields.
Castlemaine Goldfields Limited holds significant exploration licences encompassing three substantial goldfields in Central Victoria, all having prominent gold production. In particular, the Castlemaine goldfield produced some 5.6 million ounces of gold.
Less than 1 million of the ounces won from the Castlemaine goldfields came from underground mining, and nearly half of those ounces came from the Wattle Gully mine that was not discovered until the 1930's.
Inadequate differentiation of the Castlemaine geology from that of Bendigo and Ballarat limited successful underground mining in the first gold rush and there has been little exploration of the depth potential ever since.
Significant geological modeling and historical studies have now been completed enabling the company to develop new mineralisation concepts and to implement drilling programs on all three projects.
 Castlemaine Project – 100% of tenements over substantially all the Castlemaine Goldfield.- Sebastian Project – 75% interest in a joint venture and 100% of surrounding tenements abutting the northern end of the Bendigo Mining leases.
- Tarnagulla Project – 100% of the Tarnagulla Goldfield that yielded exceptionally high grade ore.
Recent activities are summarized in the last quarterly report.
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Key Investment Attributes
- The Castlemaine goldfield is under-explored and has multi-million ounce potential,
- A new geological model developed from extensive historical research then validated by successful drilling,
- The Chewton Anticline prospect evidences similarity to Wattle Gully (415,000 oz.),
- Structurally oriented drilling thus far has generated other targets across the field,
- A high caliber team of geologists has been assembled,
- Culture of disciplined expenditure and low corporate overheads established,
- External review validates exploration approach and target assessment,
- Sebastian drilling shows exploration potential along a +3km corridor,
- Tarnagulla field has potential for discovery away from the high grade Poverty Reef.
- Thorough, ongoing understanding of issues at other Victorian projects.
- Share register contains key knowledgeable shareholders with successful track record in targeting resource sector investment potential.
All these attributes evidence unrealized value in Castlemaine Goldfields Limited
Background
The Company is located at the old Wattle Gully mine site in Chewton, situated on the Melbourne side of Castlemaine in Central Victoria. The photo below was taken in early May, 2007 and shows the Company office located in the old resident managers house, with the old stamp battery in the background to the house.
The old Wattle Gully headframe and the mast of a drillrig completing hole CGT-012 on the Chewton Anticline are also visible. Focus is on maintaining low overheads and putting expenditure into exploration in the ground.
Since the official discovery of gold in Victoria in June 1851, the State has produced over 2,500 tonnes of gold. This accounts for some 32% of all Australian gold production and 2% of all the gold ever mined in the world.
Most of this Victorian gold production was won between 1851 and the virtual closure of mining in the State in 1915. It took until the rapid expansion of gold mining in Western Australia in more recent years to surpass Victoria's rich gold heritage.
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