N.D,, 59

FUTURE OF RUM JUNGLE

—Statement by t he Minister for National Development, Mr R.W. Sviartz, and the Minister for the Interior,

Mr Peter Nixon

The Minister for National Development, Mr R. T. Svaoxtz,

id the Minister for the Interior, Mr Peter ili1 on, in a joint

;atement, announced today that the Government proposed to

mee production of uranium oxide, in the Rum Jungle area of

ie Northern Territory about April 1971 ., as the supply of

nium ore vthich could be treated economically v.ill be exhausted ter the present stockpile has been processed.

The Ministers stated that after the discovery of

-anium mineralisation at Rum JunGle in 1949 by Er. J.M. White, .e Commonwealth undertook development of the deposit, and the

bsequent operation became one of the major industries of the rthern Territory. A township was established at Batchelor

d a treatment plant commissioned at Rum Jungle in 1954 to

eat ore from the initial discovery. The whole operation as n.a`ed on behalf of the Australian Atomic Energy Commission Territory Enterprises Pty Ltd, a subsidiary of Conzinc

Dtinto of Australia Ltd.

Over the years extensive exploration has been carried

0 in the area by the Bureau of Mineral Reso:ces and Territory Kerprises Pty Ltd on behalf of the Australian Atomic Energy

rnaission. This led to the=.:.d_iscovery of uranium ore bodies

Dysons, Rum Jungle Creek South and Mt. Fitch, and to base

;al discoveries including Browns lead deposit, the Intermediate

per Prospect and V:oodcutters Lead/Zinc Deposit. - ith the

;eption of Mt. Fitch the knov;n uranium ore bodies have been

Ted and the ore treated at the Rum Jungle plant to produce

ulium oxide. The Intermediate Copper Prospect was mined by

tralian Mining and Smelting Co. Ltd.

The entire operation at Rum Jungle has been an

standing success, and a valuable stockpile of uranium oxide duced At Rum Jungle has been established at Lucas Heights.

ever, it is inherent in all mining projects that a stare

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will be reached when the ore body is either exhausted or the

grade of ore available does not econoL:iically justify e::traction.

The treatment of the stockpiled ore at Rum Jungle will be completed during 1971. The Government has therefore decided

that it would be uneconomic to continue activities in the area

following; completion of the treatment of the stockpiled ore,

The LIinisters added that the Commonwealth's uranium

needs in the foreseeable future can be met from the existing stockpile at Lucas Heights and known uranium reserves. in

addition, the current rate of ex,)loration for uranium in other

areas of Australia was encouraging.

Looking' to the future of the Rum Jungle area and the

township of Batchelor, the i.iinisters said that many companies

have shown interest in obtaining mineral prospecting rights

over areas within the 1600 sq. mile reserve for which ai))lications

have been called, and the Government expects to announce the successful applicants shortly. Lhe G-overnment also proposes to release for exploration by private enterprise in the near

future the area of 100 sq. miles currently reserved for the

purposes of tl_e .ustralian atomic Energy Commission.

The potential of these areas for other mineral discoveries is good and td_.eir release will stimulate a great deal of interest by expioration companies which have the resources and are

prepared to undertake adequate exploration programmes.

The Lilnisters said there were prospects for development

of the -1",' oodcuters Lead/zinc deposit vitaich was discovered by the Bureau of ;:Jineral ?esour:ces and was currently under intensive exploration and assessment by private eaterÂ»rise, although the size and grade of the deposit have yet to be

determined.

Brown's 'rospect, a large low grade lead .eposit,

vas also located at Rum Jungle. The feasibility of developing

this deposit has yet to be established. The General area

also contained several known small de-:.osits of iron ore.

The Government is hopeful that further investigation of the known prospects and/or additional discoveries will result in new developments in the area and lead to the riaintenance of the township of Batchelor as a mining centre

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'or the region for rainy years to come. The Government is also

ooking at the prospect of other activities in the area Mich ight make use of some of the facilities at Batchelor.

an'aerra, c,rw in .

6th June 1970.

