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When you hear about the extensive business operations Kevin
Schultz is involved in, it is easy to understand how this 70-year
old found it hard to settle into retirement. Beyond maintaining
his consultancy as a mining engineer and geologist, and chairing
ASX-listed Northern Minerals (formerly Northern Uranium),
Mr Schultz is also setting up three new international companies:
Tigris Gold Limited (previously named International Gold Limited),
Triton Metals International, and International Mine Development.
Raising in excess of US$7 million in seed capital and employing
about 30 people across Australia, Singapore, London, Serbia and
South Korea is no shabby achievement in the 18 months he has
been ‘back in business’.
Mr Schultz explains that the catalyst which impelled his full-
time return to work came in 2010 when Kevin Rudd introduced the
Resource Super Profits Tax. “It had two effects: firstly, for a short
period of time it destroyed much of my superannuation value, as
share prices collapsed. Happily most of that has subsequently
recovered, but it caused me to think that there is no security in
being a superannuant in Australia. Secondly, after six months of
semi-retirement it motivated me to get back to work.”
Keen to work again with former colleagues who played a part in
creating the success of Polaris Metals, project engineer Jim Hickey
and exploration geologist Kerry Taylor, the new companies were
formed with the express aim of “following the money”. Mr Schultz
explains, “The capital retreat from Australia as a consequence of
the government’s policies meant that funds were available but
not for mining exploration or development in Australia. We had
interest out of London and Asia to look for new opportunities
around the world, in particular mineral commodities, and gold was
the main focus.”
With gold in their backgrounds and knowledge bases, Mr
Schultz and his colleagues found good opportunity in South Korea,
which underpinned the creation of Tigris Gold. Fully capitalised
through seed investors and set to pursue ASX-listing in early
2012, Tigris has now secured old gold mining ground in Korea,
which had a history of gold mining since the 1940s and in some
cases earlier.
Mr Schultz believes that after the Korean War the country
was so busy developing its technology industries, it largely forgot
about mining. “In my view South Korea has gone well ahead of
Australia in its development in every measure except mining.”
With old gold mine assets that have a production history around
half-a-million ounces, Mr Schultz estimates a target of millions
of ounces in new mine start-up potential within the three project
areas Tigris has secured, plus exploration potential for gold
elsewhere in South Korea. “I am very confident of the likelihood
of that company being a success.”
In the process of identifying the Korean opportunities,
Mr Schultz looked at other parts of the world, and the strength
with which Serbia stood out determined the creation of
Triton Metals International (TMI) to focus on exploration and
development of gold and copper there.
The process of looking at global opportunities has further led
to the formation of an incubator company, International Mine
Development (IMD), specifically geared at creating new businesses
similar to Tigris and TMI, including preparing them for public
listing. IMD is headquartered in Singapore, and potential homes
As Henry Ford wrote in the Chicago Tribune in 1916 when he described history as more or less bunk, “
The only history that is
worth a tinker’s damn is the history that we make today
.”
With Australian politicians currently making many potentially historic decisions in areas affecting mining and mine
exploration, what would we see their legacy to have been if we could fast forward some 40 or 50 years? Can experiences
from Australia’s past teach us anything about preventing similar mistakes today?
One person ably qualified to judge after 50 years of keen observation and involvement in mineral exploration management
is Kevin Schultz, former Managing Director of Polaris Metals, the Chairman of Northern Minerals and now also the Chairman
of three different and international companies, each with a specific country or business plan in mind, but all focusing outside
of Australia.
Starting his career in the 1960s, Mr Schultz has witnessed many cycles of mining boom and bust, and in this candid
interview he shares his personal observations on the negative impact of Australia’s dalliance with socialism both in the 1970s
and today. The present moves afoot with expanding taxation demands, and with what he views as extreme environmentalism,
have compelled him to look further afield for development opportunities in markets less mature, less cynical, less elitist
and more welcoming. With the international shores that Mr Schultz prefers to focus on attracting increasing numbers of
Australian entrepreneurs, the loss of energy, expertise and experience as deep as his is concerning indeed.
THE HISTORY
KEVIN SCHULTZ
CHAIRMAN
NORTHERN MINERALS LTD
WRITER & INTERVIEWER: JO ROLLINSON
MINESITE 2011
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