The Gummi River, 200 km north of Sydney, flows along ruby-bearing alluvial flats on private farming land about 200 metres wide for more than five kilometres. The central parts of these flats comprise only one tenth of the area of the flats, and were evaluated in 1973 by Audimco Pty Ltd as a sample of the whole alluvial gravel deposit. Cluff's sampling and additional exploration have not only confirmed Audimco's results, but have also shown the extent of ruby-bearing gravels to be even greater that first thought.

Extraction of ruby-bearing gravels is a relatively simple process, as concentrations are found between 2 and 4 metres below the surface. Trenches are dug using an excavator, the gemstone-bearing gravels washed through the plant then replaced into the trench, and the topsoil covered over again. This creates a low level of land disturbance, and ensures fast regeneration.

In 2003 the Company entered into a private mining and marketing agreement with the landowner, Consolidated Press Holdings Limited. A Develpmoent Application for a 250 tonne-per-day processing operation was approved in October 2004, and mining operations have since processed 32,600 tonnes of ruby and sapphire-bearing gravels through the plant. This has resulted in the production of approximately 440,000 rough carats of usable ruby and sapphire (suitable either for faceting or 'cabochoning' to a finished state ready for marketing). The agreement with CPH Limited was terminated in March 2007, with the project reverting back to 100% Cluff.

The excellent clarity and colour of a large proportion of the gemstones mean that no enhancements (such as heat treatment) are required prior to cutting in order to bring out their beauty. This makes their rarity and value greatly increased, and they are fast becoming recognised by the international gem and jewellery industry as a world class product.

In addition to the quality of the gemstones, the ruby mine is operated under strict environmental guidelines to ensure that the mining activities have a minimal impact on the surrounding area. To date, there has been no impact on the local ecosystem or on the local creeks from mining activity, and rehabilitation of mined areas has been very successful. The Company is proud of its environmental record, which further enhances the reputation of this beautiful natural gemstone.

Although rubies are found with sapphires in a number of areas of eastern Australia, the area being mined and evaluated is the only major source of facet quality ruby and pink sapphire in Australia, and one of a few in the world.

 For more detailed information, see our most recent Quarterly Report, or read our latest releases.

Below: Cluff's 250 tonne/day trommel & jig plant