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Gold rush returns to Reefton, with hopes of long-term boom

“We want a 20, 30, 40-year mine life.”

Summarised by Centrist

Miners are flooding back to Reefton, a historic West Coast gold town once thought to be picked clean. 

With gold prices surging and a government championing resource extraction, companies are betting that the quartz “reefs” that gave Reefton its name still hold untapped riches.

“It’s the gold rush that no one has heard about,” said Rob Eckford, CEO of Rua Gold, which holds 95% of the region’s tenements and plans to start production by 2028. 

Rua is also chasing antimony. Once seen as a nuisance, antimony is now in demand for its use in military hardware and tech. “We want a 20, 30, 40-year mine life,” said Eckford.

Federation Mining, backed by AustralianSuper, is even further ahead — already tunnelling below the long-abandoned Blackwater mine. It aims to produce 60,000 ounces of gold annually for 12 years, starting in 2026.

Locals are enthusiastic. “This town was built on gold,” said Reefton resident Tony Fortune. With about 1,000 residents, the town is buzzing again as miners arrive, renting homes and spending money. 

Mayor Jamie Cleine wants royalties returned to the region: “We’re all grappling with how to do it better this time and grow the town permanently.”

But environmentalists say the rush risks New Zealand’s clean, green brand. WWF-NZ chief Kayla Kingdon-Bebb warned the government’s fast-track consenting could lead to “continued environmental destruction.” 

Resources Minister Shane Jones dismissed those concerns: “It’s a trade-off. We need the economic revenue… the jobs… the security.”

Read more over at Bloomberg

Image: Stewart Nimmo

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