Controversial gold mine divides Central Otago over environmental risks and jobs
Australian mining company Santana Minerals has sparked controversy with its plans for a vast gold mine near Cromwell in Central Otago. The Bendigo-Ophir Gold Project has drawn criticism from actor Sam Neill, who labelled it 'toxic' and an environmental catastrophe. Meanwhile, local politicians and advocacy groups have raised concerns about the project's potential impact on the environment and existing industries.
Santana Minerals has secured a 30-year mining permit for the project, which involves carving out a large open pit and several smaller satellite pits, along with a tailings dam. The permit gives the company full legal rights to extract gold and sets out a royalty of either 10% of profits or 2% of gold sales, averaging $32 million per year.
The project has faced opposition from some Central Otago locals who fear it could harm existing industries and the environment. Advocacy group Sustainable Tarras has raised concerns about the use and storage of cyanide and tailings. The group argues that the mine could have significant environmental impacts, including water pollution and damage to local ecosystems.
Despite these concerns, the project has received support from some quarters. Daniel Andrews, a local politician, reacted positively to the approval of the project. Santana Minerals has also lodged a fast-track application for environmental and development consents, indicating its eagerness to proceed with the mine.
The company expects the mine to directly employ 357 people, with an average salary of $140,300, and contribute hundreds of millions in royalties and taxes. However, critics argue that the potential environmental and social costs may outweigh these economic benefits.
The Bendigo-Ophir Gold Project remains a contentious issue in Central Otago. While Santana Minerals sees the project as a significant economic opportunity, opponents argue that the environmental and social costs are too high. The project's future hangs in the balance as it awaits final approval and consent.
