​The threat of Significant Natural Areas and other implications of the proposed national policy statement for indigenous biodiversity has been delayed until April 2021 at the earliest – after this year’s general election on the 19th of September. The policy would have been wide reaching in its ability to prevent land use on both public and private lands. The Ministry for the Environment said in an email yesterday that delivery of the national policy statement has been delayed due to the impacts of Covid19.

​The price for units under the emissions trading scheme has been holding over $30.00 NZ a unit since the government in June lifted the fixed price option for units under the ETS up to $35.00, effectively lifting the price ceiling by ten dollars. The market has responded, and since the change the price of units has gone up to over $30.00 a unit, significantly increasing coal users’ operating costs,  to the point where some operators are beginning to question the viability of their businesses. The impacts on New Zealand businesses, food producers and processors, and schools and hospitals will grow more severe as the price continues to rise.

It remains unclear what the impact of new regulations on air quality will have on mercury use in refining alluvial gold. Submissions are due by the end of July on the government consultation document on changes to the National Environmental Standards for Air Quality. The consultation document is vague about what is being proposed, nonetheless Minerals West Coast will be submitting on the proposals, and wishes to hear from any gold miners who still use mercury to refine gold and would be effected if restrictions were put in place.

​A good turn out about 20 – 30 miners at this month’s CPD training event was encouraging. Wayne Scott, chief executive of MinEx, updated miners on obligations and new health and safety practices for quarries and alluvial gold mines. Minerals West Coast will be arranging another training event for the month of July, and information will be out on this shortly. 

​About once every 10 weeks Minerals West Coast’s manager, Patrick Phelps, features on RNZ’s evening programme, Nights with Bryan Crump. In the most recent feature, Patrick and Bryan discussed the impact of the emissions trading scheme, and the past and present  state of goldmining on the West Coast. 

On Tuesday the 9th of June Minerals West Coast and the West Coast Goldminers’ Association will be hosting a Minex training night, including a presentation from Minex chief executive, Wayne Scott.

Wayne will speak to attendants about changes to the mining operations and quarrying regulations, and what these changes will mean for your mining operation, as well as when they take effect.

Mr Scott will also present on the health and safety code of practice for alluvial mining. This is a how-to guide that has been developed by Minex in collaboration with alluvial goldminers. Wayne will talk to attendants about the guide’s content, and how to use it.

There will also be general discussion on health and safety issues, codes of compliance, and WorkSafe requirements.

The even will be held at the West Rugby Clubrooms in Hokitika, and drinks and refreshments will be provided - RSVP or there won't be enough to go around.

​CPD points will be available for those who attend. Please email Patrick Phelps on manager@mwc.org.nz to register to ensure we can prepare certificates of attendance.
If you have any questions about this event, please phone Patrick on 021 238 6846.
​
Date: Tuesday, 9th June
Time: 6:30pm
Venue: West Rugby Clubrooms, Brittan Street, Hokitika

In anticipation of an announcement later today on when New Zealand will return to alert level three, MinEx, the health and safety council for New Zealand's mining and quarrying sectors has prepared a template to help extractive businesses develop a safe working plan for how to operate at alert level three in compliance with the restrictions outlined. A copy of this template can be found here.

New Zealand Petroleum and Minerals, as part of the Ministry of Business, Innovation, and Employment, is encouraging companies and businesses to read the guidelines on the government website, which can be found here, to ensure they are aware of what rights and obligations exist at alert level three. MBIE says the main points are:

• The parts of a business deemed essential at alert level four will be able to operate at level three in the same manner
• The parts of a business deemed non-essential at alert level four may be able to start again, provided this can be done in a way that meets the guidance on the government’s website
• Parts of a business that cannot meet with the government guidelines will not be able to operate

MBIE says for any issues that require clarification they can be contacted by email at energymarkets@mbie.govt.nz

The demand for coal and gold and the ability for these resources to be extracted safely due to the nature of mining operations involving a degree of separation has attracted the interest of the media as the lock down has worn on. 

Mining’s role in the West Coast economy will ensure stability as the country relaxes restrictions over the coming weeks and months. This will be underpinned by a high price for gold due to global uncertainty and the metal’s ‘safe-haven’ status compared to shares and currencies, as well as consistent demand for thermal coal for food production and space heating within New Zealand. 

The outlook for export coal remains uncertain but will rely on the recovery of Asian and North American economies, and their country’s own status handling Covid19, and of course, demand for steel. A good piece on this topic can be found on Inside Resources. 

Last week Radio New Zealand ran a story discussing the possibility of the West Coast relaxing restrictions earlier than other parts of the country due to a low number of cases to date, and the ability to vet anybody entering or exiting from the region through four access roads. The story also discussed the prospects for the mining industry returning to work as operations can be carried out safely and separately. 

Greymouth based gold miner and chair of the West Coast Regional Council chairman, Allan Birchfield, also argued the case for gold mining resuming as soon as possible. Speaking to Radio New Zealand he ventured gold mining is not only an industry that can operate safely but could also be deemed essential. The full story can be found on RNZ’s website. 

​Minerals West Coast has also argued this point and sought support from West Coast local politicians for a return to business as soon as safely possible, within whatever regulations as would allow operations to be carried out. Local body politicians from the Buller, Grey, and Westland districts have all been supportive in this respect. For further information, click here.

This year Minerals West Coat manager, Patrick Phelps, started in an evening slot on Radio New Zealand’s show, Nights with Bryan Crump. The most recent interview covered the state of the West Coast coal industry in 2020, and its classification as and essential service through the alert level four lock down.

​The first slot, earlier this year, was largely an overview of the history of mining on the West Coast and is included below. 

​West Coast Tasman MP and Minister for Agriculture, Damien O’Connor, confirmed in a radio interview on The Country coal mines for domestic coal consumption would be needed during the four week lockdown for Covid19. Mr O’Connor said “Clearly coal is a necessary part of heating for hospitals and schools, though they’re closed down, and for the dairy and other food sectors, and that needs to continue, but we don’t need coal mining for export, and those are the things we’re working through for industry, they need clarity, they need to explain how they’ll mine their contracts and their supply going to domestic needs.”

Bathurst Resources is still working through what the impact will be for their operations at Stockton, and how many staff will be needed for care and maintenance and environmental monitoring. ​

Alluvial miners should seek advice from WorkSafe and from local authorities such as regional councils regarding their obligations for environmental monitoring and the ability to visit sites for security reasons while New Zealand is in lockdown. MBIE officials told Minerals West Coast they are working through what obligations miners will have to fulfil in this time but will most likely defer to the judgement of authorities like WorkSafe, the Ministry for the Environment and regional councils. West Coast Goldminer’s Association president, Brett Cummings, said there will be serious consequences for anyone mining during this time, and would not recommend “pushing it”, but considers visits to mine sites for monitoring environmental issues and security essential, especially in the event of heavy rain or floods so water quality can be monitored and remedial measures can be taken. 

​The issue of mining on conservation land will no doubt take a back seat as the country grapples with containing the virus, nonetheless word that any decision on banning mining on conservation land (announced in the government’s speech from the throne in November 2017) has been kicked for touch till after the general election. Damien O’Connor said in the Grey Star last month there would be no moves on the issue before the election, and the Greens have since confirmed they are having difficulty in getting the ban confirmed. This gives miners time to make a case for the industry retaining access to the conservation estate. 

​Minerals West Coast submitted on the indigenous policy statement for indigenous biodiversity in March this year. The submission covered all aspects of the discussion document relative to the mining industry and can be found in full here. Minerals West Coast’s submission included interviews with miners and landowners for their opinions on how their lives and incomes would be affected by losing control of their land or having it effectively confiscated by the government, and how in such cases compensation should be paid. The submission also included photographs showing the regrowth of native forest after mining operations have ended. It’s unknown when the final policy will be released. 

A lack of cost-effective alternatives and the danger of sending emitting industries offshore and becoming reliant on food imports were front and centre in Minerals West Coast’s submission to the government’s discussion document Accelerating renewable energy and energy efficiency. The full submission can be found in full on our website by clicking here. The use of coal makes production of dairy, meat, and fresh fruit and vegetables possible, while staying competitive with imports domestically and competitors internationally. New Zealand produces food which boasts a smaller carbon footprint than most other producers in the world, and coal is crucial to doing so.

​With the measures being taken to contain Covid19 it is uncertain when we will be able to again hold CPD training evenings and events like the Minerals West Coast forum and field day. An evening session with Wayne Scott, chief executive of MinEx, the entity responsible for health and safety in the extractives sector, had been planned but has been postponed due to the nationwide lockdown. Once the lockdown is over, Minerals West Coast will reschedule this event. Wayne will give a presentation introducing the new training requirements and regulations for mine and quarry managers and supervisors. This will most likely be in May, but is subject to meeting and travel restrictions. 

On Tuesday the 18th of February Ministry for the Environment staff will be in Hokitika at the Beachfront Hotel at 6:00pm.

The meeting is being held to discuss with West Coast miners the details of proposed Significant Natural Areas and other implications of the National Policy Statement on Indigenous Biodiversity.

The outcome of any new laws or regulations will impact those in the mining industry operating on either public or private land, as this relates to levels of protection given to native wildlife and vegetation, irrespective of land ownership.

For any questions regarding the meeting or its contents, please contact Minerals West Coast manager, Patrick Phelps.      

The government is making changes to the Crown Minerals Act. This will effect all miners on the West Coast. It's vital West Coast miners make their voices heard in Wellington.
The government is not giving much time. The deadline for the submissions is Friday the 20th of December 2019.

Minerals West Coast will be submitting on behalf of our members and any other parties who wish to make their voices heard. We will be holding meetings in Ross, Hokitika, Reefton, Westport, and Greymouth during the week starting Monday the 2nd of December through to Friday the 6th. Details on the submissions roadshow are available at the bottom of the page. If you can't make it but still wish to contribute please get in touch. If you wish to make a submission as a business or an individual, Minerals West Coast is happy to help.

Click here to read in full the discussion document released this week. 

It is made up of eight chapters, some of which are not relevant to West Coast miners as they relate to the petroleum industry and marine/offshore issues. The chapters relevant to miners are summarised below.

Chapter One: Role and purpose statement
This chapter outlines what submitters think should be the role and purpose of the Crown Minerals Act. The main points are:

• Whether other factors should be considered when granting a permit (social, environmental etc).
• Whether the purpose statement should be changed from "the purpose of the Act is to promote prospecting for, exploration for, and mining of Crown owned minerals for the benefit of New Zealand". There's a big emphasis on whether the word promote should be changed to "manage", or "administer", or something else. They seem very hung up on this one.

​
Chapter Four: Community participation
The guts of this chapter is whether the public should have more say in permits being granted. We'll be arguing strongly against this. 

Chapter Five: Maori engagement and involvement
This chapter focuses on what the government can do to increase Maori engagement with permit holders. There seems to be an assumption within the questions that Maori are opposed to mining. We plan to engage with local Iwi, and seek feedback from our members on their experiences, what works, and what can be improved. 

Chapter Six: Compliance and enforcement
This chapter discusses new regulations and powers that may come into the Act. This covers changes to regulations, penalties for offences, cancelling licenses, and record keeping. 

Chapter Eight: Technical amendments
There are several proposed changes that will effect our industry in good ways and bad if they become law. 

• Updating the process for serving notices and documentation within the CMA - this is to ensure information sent from New Zealand Petroleum and Minerals has been received by the intended recipient.
• Including a high level environmental capability assessment for a change of permit operator for Tier 1 permits.
• Annual Summary Reports will be done electronically.
• Processes for appointing an arbitrator in relation to land access - that is to say when a land access agreement can't be reached between a party who has permits for prospecting, exploration, or mining, and the person who owns/occupies the land.
• Scrapping the yearly reassessment of permit status (deciding whether it's Tier 1 or Tier 2) by the Minister to reduce administrative burdens for both the government and permit holders.
• All prospecting permits will be Tier 2 only, regardless of the mineral.
• Proactively releasing information available to the public. Information that is confidential under the present Act will remain confidential. What is being proposed is that to have more transparency, information the public can access by request under the current law will be released proactively under the new law. 
  ​
  

As discussed, the deadline for these submissions very tight. About four weeks in total, or twenty four working days. Given the time limits, Minerals West Coast will be holding small evening meetings with miners in main West Coast mining towns to gain as much input as possible from our members. Venues will be confirmed as soon as possible, but the times and dates for each townships are listed below to allow anyone interested in attending to make arrangements. 

If you have any questions, please contact Patrick Phelps by either phone (021 238 6846) or email at manager@mwc.org.nz

​​OceanaGold started developing Globe Progress mine in Victoria Forest Park near Reefton in 2005, with mining starting soon after. During the mine's life it employed about 200 full time staff and indirectly supported contractors and suppliers. In total it produced 610,000 ounces of gold. Mining ended in 2015, with full closure at the end of 2016. Replanting and rehabilitation was ongoing while mining was underway, but is now in full swing.

New Zealand Petroleum and Minerals is inviting West Coast miners to meet some of their team at an informal evening in Greymouth on Wednesday the 6th of November.

NZPAM says the night will serve as an informal meet and greet, allowing West Coast miners to meet the team, hear what they do, and what they are responsible for in the mining industry. There'll be chances to ask questions about compliance issues and processes, and they'll have an experienced geologist in attendance to answer questions about permits. 

TIME​: Wednesday the 6th November, 7:00pm
PLACE: Conference room, the Ashley Hotel, Greymouth (74 Tasman Street) 
​

Upwards of ninety delegates turned out in the Ashley Hotel in Greymouth on Thursday the 17th of October for the Minerals West Coast, Turning the Tables, 2019 forum. 

The theme for the 2019 forum, "Turning the Tables", was rang throughout each of the speakers presentations. Richard Tacon, chief executive of Bathurst Resources, opened the day, talking about the makeup of Bathurst Resources today. Revenue from the company's five operational New Zealand mines includes 74% for steel, 19% for food and other uses, and 6% for electricity generation. Regarding the use of thermal coal in the South Island, Richard Tacon highlighted the lack of alternatives available for some New Zealand industries in the short term. Electricity works only for heat below one hundred degrees, there is no reticulated gas supply, and wood biomass simply cannot be provided at the scale needed - if biomass were to be used instead of thermal coal, a forest the size of Belgium would have to be cleared each year. 
​ Mike Meehan, chief executive of the West Coast Regional Council, urged the mining industry to engage more in the submission process on new legislation, despite the fact we have a government that seems to be better influenced by social media than the details of well-written submissions. 
 Stephanie Hayton of Oceana Gold discussed the rehabilitation efforts underway at Globe Progress mine near the Reefton township. Three hundred thousand trees have been planted so far, with another three hundred thousand to go. 
 Brett Cummings of the West Coast Gold Miners' Association talked about the changes he's seen in mining technology and regulation through the course of his career as a miner and diesel mechanic, the challenges of running a small mine site, and his thoughts for the future.
 Adele Fitzpatrick, chief executive of Project Crimson, introduced the audience to Project Crimson, a conservation trust whose purpose is to promote the planting of native trees, and how the industry can not only document its own planting it does already, but going above and beyond to increase planting around the West Coast and New Zealand. 
 After lunch Gary Bramley of the Ecology Company, who came all the way down from the far north town of Kaeo, discussed the role mining can play in supporting New Zealand's conservation efforts. He emphasised that habitat loss in New Zealand has slowed dramatically compared to the periods following early Polynesian and European settlement, and while clearance is still an issue, it's not a big threat to (most) forests, and the biggest threats now are introduced pests and weeds, and diseases like myrtle rust and kauri dieback. He said with trees living a long time, forests change slowly and can be brought back, but animal populations change quickly and dramatically. He said the most urgent threat is for our endangered birds, lizards, bats, and invertebrates. Gary Bramley said the devastating effects on endangered animal species can be by compensation and offsetting from mining companies. He cited examples such as the Oparara Kiwi Protection Site. On the whole native bird species have increased or held the line (where species like kiwi would normally decline without predator control), and now the forest bustles with birds. Another operation he cited was the Heaphy Project, set up in 2014 to compensate for biodiversity losses at the Escarpment mine in Denniston, covering an area of 25,000 hectares. While it's early days the detection signs are good for most of the 28 bird species being monitored. Other offsetting projects included the Denniston Project, a Winstone Aggregates quarry in the Hunua Ranges.
 The rest of the afternoon took a geological turn, with updates from New Zealand Petroleum and Minerals on permits and the Crown Minerals Strategy, GNS Science on geological prospects, and the New Zealand Institute for Minerals to Materials Research on adding value to what we mine. Examples included ultra-fine gold recovery and how to turn coal into carbon foam, making a lightweight, reusable substance that can be used in batteries instead of lead. 
 The day ended about four o'clock in the afternoon, followed by drinks down at the Monteith's Bar. What hour they finished up is anyone's guess. 

A smaller group huddled out of the rain under the front of the Ashley Hotel on the Friday morning following the forum to take a trip around a few West Coast mines. First up for the day  was a small alluvial operation just south of Greymouth. The mine is run by a two man band, just across the road from a few houses. Having noise limits means rubberising machinery and operating within certain time limits each day, but the mine is a great example of the industry being compatible with residential areas. Graham admits it helps one of the neighbours is the landowner. When mining started the area was covered in gorse and small pine trees, but it was too wet to ever be suitable for forestry. The ground is being progressively rehabilitated to pasture. 

Then the convoy headed north to Reefton. The first stop was at Oceana Gold's Globe Progress mine to look at the restoration work carried out to date. Being spring, contractors are on site each day planting trees. Before handing the mine back to the Department of Conservation about 900,000 trees will have been planted. 
 Then about midday the group stopped for lunch and a break from the weather at Dawson's Hotel on the main street in Reefton. After a quick lunch the group carried on for an update from Nigel Slonker on the Blackwater Gold project, near the historic site of the Blackwater mine. The project is progressing well, and subject to feasibility studies, gold mining could start as early as 2024.

From there it was back out into the weather for the last mine of the day, Reddale, a former Solid Energy coal mine now owned by Rosco Contractors. The photos below are a good display of weather, which was freezing, raining, and blowing, all at once. A quick look at the pit to soak the jackets and muddy the boots was followed by a drive around the wash plant before heading back to Reefton for a hot drink at Broadway Tearooms before the return journey to Greymouth. 

In all the forum and field days were a great chance for those in the mining industry to get together and focus on the industry and the coming challenges.  Thanks to everyone who turned out, look forward to having you all again next year.