Go-ahead for $78M Kanowna Belle gold mine

The announcement of the go-ahead for the $78 million Kanowna Belle gold mine near Kalgoorlie-Boulder heralds a new era in gold mining in Western Australia.

Deputy Premier and State Development Minister Ian Taylor said the North Broken Hill Peko and Delta Gold joint venture would be a boon for the Goldfields with at least 150 new jobs being created.

"The mine sets a new standard in geological exploration - the venture has discovered a large and rich deposit of gold in an area which was considered to be exhausted," Mr Taylor said.

"It is one of the most exciting new gold finds in Australia and the exploration methods used to locate ore body will set a new trend which could lead to further discoveries."

Mr Taylor, who is also the Member for Kalgoorlie, said it would provide a big confidence boost to the City and the Goldfields.

With the mine expected to be in production within a year, it would be one of the highlights of the centenary of the discovery of gold in the region, he said.

The 2.6 million ounces of gold which was expected to come from the first stage of the mine would add substantially to the economy of the Goldfields.

"I am also sure that Western Australia, which is the only State which does not have a gold royalty, will be of substantial benefit to the developers," Mr Taylor said.

"What North Broken Hill Peko and Delta have demonstrated with the discovery of the new mine is that those who are prepared to make a significant investment in exploration - and they have been spending about $4.5 million a year - will reap the rewards."