Exploration Success at the Martabe Gold Mine, Indonesia

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. The Martabe gold mine is Indonesia’s largest precious metals-only producer and is also one of few significant hard rock mine developments in the past 15 years. Martabe is located on the west coast of the island of Sumatra in the North Sumatra province. The mine commenced operation in mid-2012, producing over 280 koz of gold and 1.5 Moz of silver in its first full year of production.Martabe consists of a cluster of six currently identified high-sulfidation epithermal deposits. The deposits lie in a north–south corridor with an approximately 8 km strike length and 1.5 km width. The total Measured, Indicated and Inferred Mineral Resource Estimate of the deposits is currently 8.2 Moz of gold and over 75 Moz of silver.The exploration program at Martabe has added more than 2 Moz of gold and 15 Moz of silver to the Mineral Resource estimates (Measured, Indicated and Inferred categories) since G-Resources acquired the project in 2009. This has been achieved at an average cost of US$17 in exploration expenditure per ounce of resource added, which includes helicopter-supported drilling programs in rugged forest terrain.The factors that led to this exploration success at Martabe include: in the first instance and most importantly, recognition of the geological potential of the mineralised system continually updating and improving ‘orebody knowledge’ and applying new ideas to the exploration program ongoing engagement and consultation by world professionals with geological expertise in similar systems ongoing executive management support for the program the high quality of work completed by previous owners a strong focus on quality control, staff development and operational safety, with the JORC Code (in particular Table 1 of the Code) as the underlying basis for quality control continual and positive engagement with government, community and other external stakeholders.This paper will discuss in detail the first of these two factors. It is important for the modern exploration team to recognise that mineral potential on its own is not sufficient for exploration success, so this paper will touch on the other factors as secondary but crucial considerations.CITATION:Crispin, S, Hertrijana, J and Albert, P, 2015. Exploration success at the Martabe gold mine, Indonesia, in Proceedings PACRIM 2015 Congress, pp 567–572 (The Australasian Institute of Mining and Metallurgy: Melbourne)."