Gold exploration company Glass Earth (New Zealand) Ltd was fined $9000 yesterday for damaging or modifying one of the best-known historic gold-mining sites in Maniototo.
The company admitted an offence against the Historic Places Act 1993 of damaging or modifying an archaeological site, gold workings at Vinegar Hill, St Bathans, between February 12 and 19 last year, without the authority of the New Zealand Historic Places Trust.
The maximum penalty for the offence is a fine of $40,000.
The case was heard in the Alexandra District court yesterday before Judge Stephen O'Driscoll. A similar charge, laid against Dunstan Mining Ltd, of Alexandra, was withdrawn by the trust after Glass Earth pleaded guilty.
Dunstan Mining Ltd is now owned by Glass Earth.
Judge O'Driscoll directed the fine to the paid to the trust.
"... I hope it acts as a meaningful deterrent to others involved in similar activity," he said.
The facts summary said Vinegar Hill, on Dunstan Burn station, was one of the best-known historic mining sites in Maniototo, associated with mining magnate John Ewing in the 19th century.
Gold mining took place at the site during the 19th and 20th centuries and the tailings that were left could provide a lot of information about historic activities, the summary said.
In recent times, companies like Glass Earth had sought to rework old mining sites in Central Otago.
The defendant company had an agreement with the owner of Dunstan Burn Station, allowing it access for gold-mining activities.
Exploratory work started on or about February 17, directed by Glass Earth and carried out by Dunstan Mining Ltd. Existing access tracks were further bulldozed and expanded, crossing through old tailings. As well, an area of tailings was levelled and a pit 25m long and 5-6m deep was dug for sampling.
Within a day of the work being started, a concerned neighbour alerted the Central Otago District Council, which told the trust and work was stopped immediately.
The director of the companies, Simon Henderson, told the trust he realised Vinegar Hill was an archeological site but the companies were operating under the "mistaken advice that tailings did not constitute significant cultural or historical heritage".
He indicated the company wanted to get some exploration done as it had been "a tough year", the facts summary said.
Appearing for the trust, Tom Gilbert said the trust accepted the area had been "partially damaged" by earlier mining. It had since granted authorities to Glass Earth for disturbance of the site, with conditions in place.
The company knew its obligations under the Act and " ... it appears compliance issues have been shelved in favour of commercial imperatives"
Counsel for Glass Earth, Oliver Meech, of Wellington, said it was "quite simply a compliance miss, one the company regrets".
The company had concentrated on an area where tailings had already been damaged by L&M Mining in the 1990s, gone over the same access tracks and worked at the same platform.
Glass Earth had a strong compliance culture and had put measures in place so there would be no further breaches.
Judge O'Driscoll said the company had no previous convictions of a similar nature, work had been carried out for only a day and there was nothing to indicate irreparable loss or damage to the site.
He ordered $2000 be paid for costs of prosecution and $867 in disbursements.
After the company was sentenced, trust Otago-Southland manager Owen Graham said he hoped the prosecution would deter others from damaging heritage sites, especially in Central Otago.
Glass Earth director Simon Henderson later said it was a "sensible judgement" .
The company understood there needed to be some accountability. It also had a strong affinity with Otago's mining history "and it was good to note the judge pointed out no irreparable damage was caused".