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FIVE gold mining projects north of Bendigo – including one bankrolled by mining magnate Gina Rinehart – have received state government grants totalling $1.2 million.
The Four Eagles Gold Project covers 15 square kilometres between Calivil and Mitiamo, and received $4.2 million in funding from Ms Rinehart’s Hancock Prospecting in 2015.
It has now received a further $373,000 from the state government to carry out geophysical surveys of the area.
Ms Rinehart funded the project through Gold Exploration Victoria, a subsidiary of Hancock Prospecting, and her company will earn up to 50 per cent of the project’s returns subject to further investment.
The government funding came through the TARGET grants program, which the state government hopes will discover “significant undiscovered gold deposits” in targeted areas between Bendigo and Swan Hill.
Victoria resources minister Wade Noonan said the projects would create jobs in northern Victoria, if they can discover gold deposits.
“These are exciting projects in an area considered highly prospective for gold,” he said.
Catalyst Metals manages the Four Eagles Gold Project, and believes the area contains “high grade gold intersections”.
The company states it would need to carry out angled aircore, RC and diamong drilling in the area between Calivil and Mitiamo in the next few years.
It was one of five gold mining projects in the region to receive a government grant.
Fosterville Gold Mine received $139,000 to carry out surveys for gold, platinum and silver in an area south west of Elmore. The exploration licence is pending renewal, according to the Department of Resources.
Kite Operations received a $224,700 grant for exploration for gold, silver and platinum north of Dingee, and $312,000 for a gold exploration project south west of Cohuna.
Providence Gold and Minerals received a $227,000 grant for a project near Boort.
The grants allow companies to conduct “co-funded minerals exploration programs”, and cover half of the cost of exploration activities including geophysical surveys, drilling and sampling analysis.
Last year the state government gave out almost $2.2 million in grants for mining companies to explore in areas of western Victoria, including near Ararat and Stawell.