Waikaka Gold Mines Ltd had received consent from the Gore District Council and Environment Southland to operate a mine near Waikaka, about 20km north of Gore early last month.
The site was previously mined in the early 1900s and an operator also mined to its southern area briefly in 2001.
The project’s operators were looking to mine 95ha of land over eight years, at depths of 20m-40m. Production was estimated at 6000 ounces of gold per year — which at Thursday’s prices of $8290 per ounce would bring in just under $50million a year.
Four sections of the Waikaka Stream and Shepherds Creek would be diverted temporarily, before being returned to their current alignment.
The Department of Conservation had appealed the decision while the applicant had also appealed the consents granted.
Waikaka Gold Mines Ltd director Warren Batt said the appeal was nothing major as it was just wanting minor corrections to the wordings in the consent. Overall, he was happy with the consents and was looking forward to getting the project under way.
Doc was hoping mediation would find agreement and the consents would be signed off before having to go to Environment Court.
Doc Southland operations manager Murihiku John McCarroll said the focus of the appeal was on specific conditions that manage ecological effects on threatened native freshwater species such as Gollum galaxias.
The key matters raised by Doc were the need for an improved management plan regarding stream diversion and rehabilitation, further work on suitable habitat for the translocation of affected species and further consideration of residual effects arising from of the proposal.
Discussions with the applicant are under way with a clear preference to resolve these matters through direct discussions.
Waikaka Gold Mines Ltd said last month it would be looking to employ about 30 people for the operation.
