Alluvial gold mine approved

There's no need to travel to Rio to win gold, as a large-scale alluvial mining operation near Roxburgh has got resource consent. However, opposing neighbours may appeal.

Independent commissioners yesterday released a decision allowing Kokiri Lime Company Ltd to mine on 163ha of land at Coal Creek Flat now used for pastoral farming and horticulture.

The joint hearing in June covered applications to the Central Otago District Council and Otago Regional Council.

The commissioners were David Clarke, of Arrowtown, Terry Emmitt, of Bannockburn, and Brent Cowie, of Christchurch.

Kokiri Lime director Mack Ferguson said the potential economic impact of the project meant it was a ``happy day for Otago and Central Otago''.

``We've gone through a long process and we're happy to come out the other side.''

However, only eight of the 19 landowners involved have approved the plans.

``There's still a lot of work to do and we'll take our time. We'd like to get everyone on board,'' Mr Ferguson said.

No start time was set.

Fred Jeffery owns and manages Roxdale Foods fruit and vegetable factory which has land in the mine path. He was ``not very happy at all'' about the decision.

``I think that there are a number of people who will appeal it.

``My concerns are that we all have bores and they can be destroyed by any earth movement at all, and there just wouldn't be anything there. Similar things have happened in the past. Without water we are nothing.''

Consent conditions require the mining company to monitor water in certain wells and replace water sources if they become unviable.

The conditions did not resolve his concerns, Mr Jeffery said.

Central Otago Mayor Tony Lepper said judging by a similar operation in Earnscleugh which ended in 2014, the mine would have short and long-term positive impacts for the region.

``At Earnscleugh we got the immediate benefits of the mine and we're now reaping the benefits off the land.''

That site was ``far more productive'' for orcharding and farming after the mining operation, he said.

``I'm confident that with the conditions, everyone will be a winner.''

The main land use consent for the Coal Creek operation was granted with 76 conditions and more than 100 other conditions were set for various permits necessary for the operation.

Many address how the area must ``progressively be returned to a state that is generally consistent with the pre-mining condition of the land''.

This includes work the company plans to undertake on and around State Highway 8.

Kokiri Lime must deposit $1.15 million in bonds with the district council to address concerns about the monitoring and rehabilitation of the land if the mine fails or the price of gold drops.

It must also deposit $24,350 with the district council to be put in an amenity trust to benefit the Coal Creek community, including maintaining tracks and other recreation facilities in the area.

The company must hold a public meeting within three months of work commencing, at which time a Liaison Committee will be created to represent the interests of affected parties.

jono.edwards@odt.co.nz

 

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