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A New Geological Model for the Globe Progress Mine,

New Zealand
C McIntosh1 and L J Reynolds2

ABSTRACT
Gold mineralisation at the Globe Progress deposit is hosted by a
geologically complex zone of shearing and brecciation, within a package
of deformed metasediments. Mineralisation styles range from quartz
breccias and lodes to sheared clay pug zones and disseminated sulfides.
A review of the diamond drill core intersections through the deposit
indicates that critical hanging wall and footwall contacts can be a
combination of sharp or gradational; visual or non-visual boundaries.
Approximately 60 per cent of mineralised contacts can be confidently
identified visually, particularly where associated with veining, distinct
brecciation or shearing, and high sulfide content. However, the gold grade
and distribution of disseminated mineralisation can be extremely difficult
to estimate visually, with implications for resource estimation and grade
control when mining.
Using observed drill hole geology and assays, a new geologically
based model for the gold mineralisation has been constructed for the
deposit to reflect the expected variability of the mineralisation contacts.
This new model will constrain resource estimation and also serve to act
as a predictive model when open pit mining commences. Nevertheless,
careful grade control practices such as drilling, trenching and supervised
extraction of ore will be required to maximise ore recovery and minimise
dilution during open cut mining.

INTRODUCTION
The Globe Progress deposit is located within the historic Reefton
Goldfield on the west coast of the South Island of New Zealand
(Figure 1). The deposit is currently being redeveloped by Oceana
Gold (New Zealand) Limited (OceanaGold).
The Reefton Goldfield extends approximately 35 km in a NNE
trending belt from the Blackwater Mine in the south, to the
Caledonian group of mines in the north. Recorded historical
production of the goldfield between 1872 and 1951 was
approximately 2 Moz (Barry, 1993). Mining was predominantly
underground, exploiting high-grade quartz veins and lodes
containing free-milling gold. The Globe Progress Mine was
the second largest producer in the goldfield, recovering around
425 k oz between 1883 and 1920, at an average grade of 12.2 g/t
FIG 1 - Location of the Globe Progress deposit.
Au (Barry, 1993; Latham, 1984).
OceanaGold is redeveloping the Globe Progress deposit as an
open pit mine, primarily exploiting lower-grade, refractory gold The Buller Terrane is interpreted to be a rifted portion of the
mineralisation occurring within a shear zone that envelops the Lachlan Fold Belt in Australia and hosts orogenic gold deposits
quartz lodes. Sulfide-rich ore concentrate produced on site will similar in character to those known in Victoria (Cooper and
be railed and trucked to the Macraes Gold Mine in Otago for Tulloch, 1992; Christie et al, 1999).
further processing. First gold production from the mine is The Greenland Group (Figure 2) is considered to be a
expected in the fourth quarter of 2006. Current resources at continentally-derived turbidite sequence (Laird, 1972) comprising
Globe Progress are 15.67 Mt @ 2.27 g/t Au. Proven and a monotonous sequence of bedded greywackes and argillites.
Probable Reserves stand at 6.18 Mt @ 2.57 g/t Au (at a 0.8 g/t During the Late Ordovician or Early Silurian, a tectonic event
cut-off) for a total of 510 k oz (OceanaGold, 2006). resulted in lower greenschist metamorphism and the development
of north-south trending, gently plunging upright folds. The folds
REGIONAL GEOLOGY exhibit subvertical axial planes and pervasive subvertical axial
plane cleavage (Cooper, 1989; Rattenbury and Stewart, 2000)
The Reefton Goldfield occurs within Ordovician Greenland
and sheared fold hinges are very common.
Group metasediments of the Buller Terrane (Cooper, 1974, 1989).
The Reefton Goldfield is approximately 35 km in length and
15 km wide, striking in a north south orientation. Mineralisation
1. Project Geologist, Oceana Gold (New Zealand) Limited, 1 Hattie in the goldfield is associated with tightly folded zones with fold
Street, Reefton, New Zealand. wavelengths of tens to hundreds of metres, compared to the
Email: craig.mcintosh@oceanagold.com regional pattern of kilometre scale folding (Christie et al, 1999).
2. MAusIMM, Principal Exploration Geologist, Oceana Gold (New During the latter stages of folding, auriferous quartz veining and
Zealand) Limited, PO Box 84, Palmerston, New Zealand. breccias were emplaced, although there is evidence to suggest
Email: lachlan.reynolds@oceanagold.com the mineralisation post dates the upright folding (Maw, 2000).

6th International Mining Geology Conference Darwin, NT, 21 - 23 August 2006 51

C McINTOSH and L J REYNOLDS
FIG 2 - Regional geology of the Reefton Goldfield.
The goldfield is bordered to the east by Palaeozoic and
Cretaceous granite intrusives (Nathan et al, 2002) and to the west
by Tertiary and Recent sedimentary rocks infilling the Grey
Depression. The Tertiary rocks also occur as infaulted blocks
within the Greenland Group (Rattenbury et al, 2005). A veneer
of glacially-derived gravels locally obscures the basement rocks.
DEPOSIT GEOLOGY
The Globe Progress deposit occurs within an arcuate shear zone
(the ‘Globe Progress Shear’), which trends from a north-south
orientation into an east-west strike, discordant to the regional
structural grain (Figure 2). The shear zone dips steeply at the
surface but shallows at depth, forming a quarter bowl shape. The
shear pinches and swells between 8 and 30 m in thickness, whilst
the internal geometry displays variable shear textures.
A NNW trending shear, known as the Oriental Shear occurs on
the eastern margin of the deposit, and extends to the south where
other zones of mineralisation have been defined. On the western
side of the deposit, the Globe Progress Shear apparently
terminates against the NNW trending Chemist Shop Fault.
Recently, Rattenbury et al (2005) have suggested that this fault
may not truncate the mineralised shear as completely as had
previously been interpreted.
Historic mining exploited quartz rich shoots and pods in
excess of 200 m wide and up to 4 m thick (Barry, 1993). These
shoots are contained within the shear zone and plunge at a
subperpendicular angle to the shear zone trend. Lew and Corner
(1988) and more recently Rattenbury et al (2005) have proposed
a correlation between these high-grade shoots and host-rock
structure. In particular, there appears to be a strong correlation
between hanging wall folding and the quartz shoots, especially
where the Globe-Progress shear intersects west facing, west
dipping beds at a high angle (Rattenbury et al, 2005).
52 Darwin, NT, 21 - 23 August 2006
ORE TYPES
Gold mineralisation within the deposit is distributed over a
continuum of ore types, ranging from quartz veins and lodes to
cataclastic or pug breccias and mineralised greywacke/argillite
(Figure 3). Free gold occurs only within quartz and quartz
breccias. Pug breccia, host rock breccia and mineralised
greywacke and argillite contain refractory gold associated with
arsenopyrite and pyrite.
Quartz
Historic mining focused on extracting quartz ore as it contains the
majority of free milling gold present in the deposit. Most lodes
have been mined out but localised zones are still intersected in
drilling. In drill core the quartz ranges between massive and
banded and is commonly fractured. Colour varies from white
through to dark grey. Arsenopyrite and pyrite occur as fine grained
disseminations and as fracture coatings, whilst stibnite is
sometimes present but uncommon. Free gold is locally observed.
Quartz breccia
Quartz breccia consists of cemented grey to black quartz breccia
clasts. Sheared argillite and greywacke clasts are present in
minor amounts. Fine grained pyrite, arsenopyrite and stibnite are
common. Free gold is locally observed.
Pug breccia
Pug breccia comprises a foliated, soft but generally competent
sheared rock with clasts of stretched and sheared greywacke and
argillite present. Arsenopyrite and pyrite are common as
disseminations and veinlets. Stibnite is present only in sheared
quartz clasts. Refractory gold is associated with arsenopyrite and
pyrite.
6th International Mining Geology Conference
 A NEW GEOLOGICAL MODEL FOR THE GLOBE PROGRESS MINE, NEW ZEALAND

A B

C D

E D

FIG 3 - Globe Progress ore types. (A) quartz, (B) quartz breccia, (C) pug breccia, (D) host rock breccia, (E) mineralised argillite host rock,
and (F) mineralised greywacke host rock.

Host rock breccia
This ore type is dominated by sheared and brecciated argillite
and greywacke and is best developed where shear zones branch.
Disseminated and veinlet hosted pyrite and arsenopyrite is
common and contains refractory gold.
Mineralised greywacke and argillite
Forming almost exclusively on the margins of ore zones, this
style of mineralisation shows a gradation from breccias through
to undeformed rock. Mineralisation is characterised by
disseminated pyrite and arsenopyrite (often with an acicular
habit). Sulfide contents between two to ten per cent distinguish
this rock from unmineralised material.
MINERALISATION DISTRIBUTION
Mineralisation within the Globe Progress Shear is extremely
variable in grade, visibility, texture and metallurgy. Historically
the high-grade quartz lodes and pods were mined for free milling
gold with an average grade of 12.2 g/t (Barry, 1993).
OceanaGold is targeting the mostly refractory sulfide-rich gold
ore that forms a halo around the quartz lodes. Understanding the
variable characteristics of the ore will help achieve maximum ore
extraction and minimise dilution during the open pit mining.
The quartz lodes and breccias described above represent the
most visually distinct and easily identifiable mineralisation styles
within the Globe Progress Shear, the white quartz contrasting
against the darker country rocks. These rocks commonly contain
higher than average grades and free gold has been observed
within drill core. The highly sheared pug breccias are also
anticipated to be easily identified during the mining process.
Sulfide content of the visible ore will aid in visually determining
the grade in the visible ores.
Host rock breccias and mineralised greywacke/argillite have
the potential to be problematic for identification of ore contacts
in the mining environment, as the contacts are less visually
distinct. While moderate to highly brecciated host rock will pose
less of a problem than the weakly brecciated material, and
sulfide content of the rock will provide a guide, definition of
ore-waste contacts at the margins of the shear zone is anticipated
to be locally complicated by non-visual ore boundaries.
GEOLOGICAL MODELLING
The Globe Progress resource underwent remodelling during mid
2005 to reconcile differences between a model based on ‘hard’
assay grade boundaries and an unconstrained kriging model.
Geological input into the assay grade boundaries was minimal
and non-existent in the unconstrained kriging model. It was

6th International Mining Geology Conference Darwin, NT, 21 - 23 August 2006 53

C McINTOSH and L J REYNOLDS
determined that the visual nature of mineralisation contacts
should be considered in the geologically based model to account
for the geological variability that is expected during routine mine
production.
A detailed review of the diamond drill core intersections
through the deposit was subsequently completed to quantify this
geological variability. As many ore-waste contacts as possible
were examined using print and digital photographs, diamond
drill core, geological logs, assay grades, geochemistry, and
previous core observations.
The outcome of the review was that critical hanging wall and
footwall contacts can be a combination of sharp or gradational;
visual or non-visual boundaries. Approximately 60 per cent of
mineralised contacts can be confidently identified visually,
particularly where associated with veining, distinct brecciation or
shearing and high sulfide content. However, the gold grade of
disseminated mineralisation in host rock breccias was shown to
be difficult to estimate visually.
The new geological model constructed after the review was
based on the visibility of the ore-waste contacts and used both
previous and current geological interpretations. The criteria for
the determination of the geological model boundaries are
outlined in Figure 4. This flowchart outlines the steps taken in
determining the contacts in the new model, using the assay grade
boundary model as the starting position. A degree of variability
in determining the new contact positions was built into the
decision making process based on a number of factors, including:
1. proximity of other drill holes,
2. the nature of the neighbouring contacts, and
3. the confidence in the identification of those contacts.
FIG 4 - Globe Progress deposit geological modelling flow diagram.
54 Darwin, NT, 21 - 23 August 2006
Note that the procedure shown in Figure 4 is not intended to
account for mining dilution and only considers definition of the
mineralised contacts for the geological model. These contacts
correspond with a grade cut-off in the range of 0.6 - 0.8 g/t Au.
In order to build the geological model, MineSight geological
modelling software was used to extract a drill hole database from
an acQuire database. A validation study of drill hole collar
positions and down hole surveys was conducted prior to
examining ore contacts. Using all of the available geological
information, hanging wall and footwall ore contact positions
were examined, their character was determined and the position
was snapped to the drill holes as a point. In this way, hanging
wall and footwall point files were built for the Globe Progress
and Oriental orebodies.
The final 3D wireframes (Figure 5), constructed from the point
files, thereby incorporate all the geological data and assumptions
regarding ore-waste contacts into the geological model. The
model is considered to be evolving and it is intended to be used
as a base model that can be built upon during further resource
delineation drilling and the future mining of the deposit.
The new geology based model is considered to represent an
improvement on previous models as it more accurately reflects
the true nature of the ore contacts. The geology based model
resembles the assay based model on a broad scale; however,
because it takes into account the geological variability of the ore
it will be more valuable in a selective mining environment.
DISCUSSION
Selective mining of the Globe Progress deposit will require
accurate identification and mining of ore-waste contacts, some of
which are not visible. Delineation of non-visual ore types such as
mineralised greywacke, argillite and some host rock breccias will
only be determined by grade control assays. Mapping and
trenching across ore-waste contacts will help in identifying these
areas and controlling ore loss and dilution.
Successful grade control practises and geological systems used
at the Macraes Gold Mine (Yeo, 2001) operated by OceanaGold
are planned to be adapted to selectively mine the ore at Globe
Progress. A resource model based on geological contacts will
enable more precise planning decisions and act as a guide to
where non visual boundaries are likely to exist, thereby limiting
ore loss and dilution. The use of the geology based model as a
predictive tool will permit grade control to identify areas
requiring modified practices.
CONCLUSIONS
The Globe Progress displays both visual and non-visual ore types
and accurate identification of the ore-waste boundaries has been
shown to be an important parameter in the geological modelling
process. Subsequent recognition of the ore contacts within the
mining environment is expected to be important for controlling
ore loss and dilution. Geological and grade control systems
adapted from mining visual and non-visual ore at the Macraes
Gold Mine will be implemented when the Globe Progress mine
commences operation.
ACKNOWLEDGEMENTS
Past and present OceanaGold staff involved with the
redevelopment of the Globe Progress deposit have contributed to
the current understanding of the geology. Sean Doyle and
Jonathan Moore developed the methodology for classification of
the ore contacts and provided helpful reviews of the manuscript.
This paper is published with the permission of Oceana Gold
(New Zealand) Limited.
6th International Mining Geology Conference
 A NEW GEOLOGICAL MODEL FOR THE GLOBE PROGRESS MINE, NEW ZEALAND

FIG 5 - 3D model of the Globe Progress deposit.

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