“Australia’s pool of pure gold producers is rapidly dwindling through a combination of resource exhaustion, low levels of exploration and a high level of merger and acquisition activity,” Gordon said.

“For Australia to maintain a viable gold industry, it needs mid-tier independents and juniors to maintain exploration momentum.

“That momentum will stagnate and shrivel unless there is some urgent rewriting of tax relief or investment incentives – whether just for the gold sector or broader minerals exploration activity.”

Gordon said Ramelius would springboard off its success over the past 10 years in discovery and mine development.

“We intend to build a solid and sustainable project pipeline for a second decade of gold exploration and mine development, primarily in Australia but potentially also in select overseas areas such as Nevada offering an early return on investment,” he said.

“We are very proud of Ramelius’ achievement in a long track record of profitability – something achieved against current market trends that places us in a strong position to grow organically via exploration success.”

Over the past 10 years Ramelius has produced 326,000 ounces of gold for total revenue of $A446 million.

Total accumulated full-year profits have amounted to $88.5 million, while the company has returned $33 million to shareholders.

The cashed-up company has a healthy bank balance of $47 million (including gold on hand).

“We will also be able to add to our project portfolio via strategic acquisitions should the right opportunities become available,” Gordon said.

Through the Mt Magnet mine, Ramelius is set to lift production to 100,000 ounces per annum from September this year and is aiming for output of 150,000ozpa by 2016.

Ramelius shares closed half a cent higher to 29.5c.