Dome Gold Mines Advances Feasibility Study While Sigatoka Desilting Faces Setbacks
Dome Gold Mines reports delays in its Sigatoka desilting project due to local activist opposition, while progressing its feasibility study and securing key license renewals in Fiji.
- Government desilting program delayed by local activist group objections
- Feasibility study at Sigatoka project advancing despite contractor scope refinements
- Renewal of key exploration licenses SPL1495, SPL1452, and SPL1451 underway or granted
- Exploration expenditure of A$220K focused mainly on Sigatoka feasibility activities
- Company holds A$570K cash and $5.6 million in unsecured loan facilities
Sigatoka Desilting Program Stalled by Community Opposition
Dome Gold Mines Limited, an Australian mining company focused on projects in Fiji, has encountered delays in the Government’s Emergency Desilting Program for the Sigatoka River. Dome’s wholly owned subsidiary, Magma Mines Ltd, was selected as the contractor for this flood mitigation initiative, which also supports mineral resource development. However, objections from the Jubaniwai Yaubula Committee; a group advising indigenous landowners; have put the program on hold. The committee’s stance appears increasingly oppositional toward resource projects, impacting multiple government desilting and mining initiatives in the region.
Dome has responded by engaging legal counsel and submitting formal complaints to the Prime Minister’s office, disputing defamatory claims made by the committee in media outlets. The company emphasizes that many community members support the flood prevention efforts and awaits government resolution before commencing work.
Progress and Challenges in Sigatoka Feasibility Study
Despite these external challenges, Dome continues to advance its feasibility study for the Sigatoka industrial sand and magnetite project. The study has experienced some delays due to the need to refine contractor scopes and negotiate cost-effective agreements. Key technical milestones are approaching, including a report on magnetite recovery testwork and completion of geotechnical and hydrogeological drilling at Kulukulu South.
The careful approach aims to ensure a robust process plant design and mine plan, underpinning Dome’s confidence in the project’s long-term value. Meanwhile, the company has submitted renewal documentation for its Special Prospecting Licence (SPL) 1495, with a recommendation for a further three-year term.
Exploration License Renewals and Environmental Approvals
Dome’s other key tenements; SPL1452 covering the Nadroga copper-gold project and SPL1451 on Ono Island gold-silver project; have been renewed through to 2027. The company submitted statutory annual reports for the first year of these licenses during the quarter. Exploration plans for Nadroga include airborne geophysical surveys and ground truthing to identify porphyry copper-gold and high-grade gold-silver vein systems, although these activities require a full Environmental Impact Assessment approved by Fiji’s Department of Environment before proceeding.
Financial Position and Outlook
During the June quarter, Dome spent approximately A$220,000 on exploration and related activities, predominantly on the Sigatoka feasibility study program. The company reported no mining production or development expenditures in this period. Dome ended the quarter with A$570,000 in cash and maintains unsecured loan facilities totaling A$5.6 million from multiple lenders, providing a runway for ongoing exploration and study work.
Payments to related parties, including directors’ fees and superannuation, amounted to A$71,000. Dome’s management remains optimistic about the projects’ potential and is focused on resolving regulatory and community challenges to advance development.
Bottom Line?
Dome Gold Mines’ next moves hinge on resolving community opposition and securing environmental approvals, critical for unlocking the value of its Fiji projects.
Questions in the middle?
- How will Dome navigate the ongoing opposition from the Jubaniwai Yaubula Committee and secure community support?
- What impact will the required Environmental Impact Assessment have on the timeline for Nadroga exploration?
- Can Dome secure additional funding or partnerships to accelerate development beyond feasibility studies?