Goldfields (Tasmania) Limited operates a small, high-grade underground gold mine on the West Coast of Tasmania, 30 kilometres north of Queenstown. The main orebody, Zone 96, was discovered in 1989, with major development work commencing in 1993. The mine was officially opened in July, 1996. Initial production came from a shallow orebody known as the Sill Zone, some 50 - 150 m below surface, which was accessed by a 1 in 8 decline. Zone 96 lies between 350 m and 550 m below the surface and is accessed by a 402 m deep, 3.2 m diameter internal shaft from the collar level located 100 m below surface. The main ore extraction system in Zone 96 is mechanised cut and fill, using high density paste fill. Run of mine ore and waste are hoisted in a single 5.5 tonne overturning skip, then trucked from the underground collar to the gold plant ROM pad or waste dump, respectively. Ground conditions in the mine vary with orientation and proximity to major faults. The gold is contained in a sequence of strongly altered volcanic rocks adjacent to the Henty Fault. Most of the gold is contained in massive quartz, ranging in width from 0.5 m to 7 m, which has been subjected to substantial faulting. Average mineable grade is about 27 grams gold per tonne. Ore reserves in 1996 proved an initial mine life of approximately 4.5 years at 90 000 ounces gold per annum, with significant potential for additional resources from extensions to Zone 96 and adjacent zones. The lease is located in an environmentally sensitive area and a very high standard of environmental management is an essential part of the operation. This paper describes the relevant aspects of mining at Henty including grade control, ground support, backfill placement and environmental management.