Scottish Gold Mine Is Rejected by Local Government on Environment Concern

A plan to start mining for gold in Scotland was rejected by the local authority because of potential damage to the environment.

The board of the Loch Lomond and Trossachs National Park, a protected area between Glasgow and the Highlands, said in an e- mailed statement late yesterday that the proposal by Scotgold Resources Ltd. failed to win approval because of the “visual impact of the waste management facility.”

Scotgold said in a statement on Aug. 10 that the national park’s executive director of planning had recommended rejecting the plan for the mine. The company has the right to appeal the decision to the Scottish Government in Edinburgh.

Scotgold, whose shares are listed in Australia, planned to take advantage of rising gold prices by reopening a previously abandoned mine in Scotland. Gold for immediate delivery in London has risen 31 percent during the past 12 months.

Shares in Scotgold sank 40 percent last week after the company said planners were recommending a rejection. Scotgold said Aug. 17 its drilling results had found high levels of gold and silver deposits in the area it planned to mine. Part of that area is outside the national park boundary, the Herald newspaper reported yesterday.

To contact the reporter responsible for this story: Rodney Jefferson at

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