Scottish Gold Mining 'Worth £80m To Economy'

Scotland's first commercial gold mine is expected to produce 20,000 ounces of gold and 80,000 ounces of silver per year, of which 5,000 ounces of gold will be extracted as unrefined gold bars and identifiable as 'Scottish Gold'.

This would attract a premium for jewellers and goldsmiths due to its scarcity and uniqueness should it be manufactured into jewellery.

As well as the value of the gold and silver, it is estimated that as much as £80m in additional economic activity could be generated in Scotland through the wider supply chain as a result of the establishment of the mine

The project has already received considerable local and national support, including from the likes of the Scottish Tourism Forum and Scotland's leading economic development organisation, Scottish Council for Development and Industry (SCDI).

Plans to develop Scotland's this first commercial gold and silver mine at Cononish near Tyndrum moved a step closer this week with the lodging of a Planning Application by Scotgold Resources with Loch Lomond and the Trossachs National Park Authority.

It is anticipated that the project will create 52 full time jobs in a rural community whose current active skills base is largely centred on the seasonal tourist trade, clearly of significant impact in the current economic climate.

The majority of these jobs can be filled by locally available skills, and there are obviously also indirect employment opportunities created through construction and by the goods and services required by the operation, with wider implications for the area.

The rich geological endowment of the area, its mining history and its location on a major tourist route and the potential of Scotland’s first commercial gold mine, make Tyndrum a unique location. Scotgold believes that the project will boost local tourist numbers and spend in the area.

Scotgold has also had preliminary discussions with a number of respected and influential participants in the Scottish jewellery industry and the indications are that there will be considerable interest in the manufacture in Scotland of gold and silver of verifiably Scottish extraction.

Chris Sangster, Director and CEO of Scotgold said: "We are delighted to be in a position to be lodging this planning application and are exceptionally pleased with the overwhelming support we have received both locally and nationally. Our project will assist in delivering significant direct and indirect employment opportunities, as well as considerable economic investment potential.

"A lot of time and effort has been taken to address the environmental concerns that had been raised by the Park Authority and we will hopefully be able to progress the project successfully through planning."

Iain Herbert, Chief Executive of the Scottish Tourism Forum, the voice of Scotland’s tourism businesses, commented: "Our members are incredibly excited at the proposed gold and silver mine, which will provide a superb tourism opportunity for the area. Visitors will be attracted, not only to the locality, but to Scotland as a whole in order to visit the country’s first commercial gold mine.

"This will enhance tourism spend and employment opportunities, as well as developing a jewellery manufacturing industry based on the true branding of 'Scottish Gold'.

"The firm has also done well to address environmental concerns through a comprehensive restoration strategy, reducing considerably the tailings management facility, and we wish them well in their endeavours regarding this project."

(GK)