Opponents of a stalled plan to operate a multimillion-dollar gold mine at Earnscleugh, in Central Otago, are upset to learn the mine is now expected to be operational within months.
Christchurch-based L and M Mining Ltd has been working with Central Otago District Council staff to activate resource consents for the mine, first granted in 2001 and amended following an Environment Court appeal in 2004.
The mine was expected to be operational by July this year, when the consents would otherwise lapse if not acted upon, CODC staff confirmed yesterday.
The consents allowed the mine to operate on a 255ha site on the Earnscleugh flats, centred on the Fraser River bed, from 500m downstream of the Laing Rd bridge to 1km upstream of the Marshall Rd bridge.
L and M Mining exploration manager David Manhire was reluctant to comment when contacted but confirmed plans for the mine's operation remained largely unchanged from 2001.
The mine was expected to provide employment for about 40 workers for more than seven years, with 2001 estimates valuing the contribution to the Central Otago economy at $38 million.
An estimated 150,000oz of gold would be expected, although its value was now "significantly higher" than the $90 million estimated in 2001, Mr Manhire said.
Exact details were not available.
The company had made some changes to its original mine plan, including scrapping plans to divert the Fraser River, Mr Manhire said in a statement.
Site work would include a water management system, the stripping and stockpiling of topsoil, the excavation of a mine pond and the construction of a mining and processing plant, he said.
CODC planning team leader Ann Rodgers said several meetings had been held with Mr Manhire since late February to discuss meeting consent conditions required before the mine became operational.
Those included the payment of bonds totalling $550,000 to the council, to cover the cost of land and road restoration and mine decommissioning work, and a separate $62,500 payment to establish a Earnscleugh amenity fund.
The fund would be held in trust by the council and used to pay for recreational facilities in the area, Ms Rodgers said.
The company planned to hold a public meeting at the Earnscleugh Hall on May 27 to discuss its plans, and also establish a liaison committee.
However, opponents of the mine said, when contacted yesterday, they had not received any notification of the company's intentions.
Elisabeth Hinton, who, with husband Nigel, appealed L an M Mining's resource consents to the Environment Court in 2004, said she had heard nothing of the developments.
"We are principal objectors and we haven't heard . . . They haven't had the courtesy of being in touch. We are all in the dark about it," she said.
Gold Mine Action Group spokeswoman Sue Edwards said her organisation had also received "no indication" mining was imminent.
Her group, which remained opposed to the mine, had met annually since 2004, but had heard nothing, she said.
"We would be the last one they would inform," she said.
"Obviously, mum has been the word, until now."
The mine was first granted approval by the Otago Regional Council and CODC in July 2001, despite objectors' arguments it would create dust and noise problems for orchards in the area and reduce the land value of neighbouring properties.
Ms Rodgers said the CODC would monitor the project to ensure compliance with consents, but the opportunity to make further submissions "has gone".
"That boat has sailed," she said.
