OPERATORS of a proposed gold mine near Blayney are seeking to buy treated effluent from Bathurst Regional Council in a 10-year deal sure to draw the ire of local conservationists.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
Regis Resources wants to buy between eight and 10 megalitres of treated effluent a day from the Waste Water Treatment Works – equivalent to the plant’s daily output to the Macquarie River.
The water would be used for mineral processing, metal recovery, dust suppression, staff amenities and firefighting at Regis’ McPhillamys Gold Mine at Kings Plains, about 30 kilometres west of Bathurst.
Council has already held lengthy discussions with Regis and commissioned impact statements from consultants SKM and GHD, along with an effluent reuse study from NSW Public Works.
No water pricing details have been confirmed at this stage and no route has been decided for the pipeline which would be built to carry the water to Kings Plains.
A report to tonight’s council meeting by general manager David Sherley recommends council seek community feedback before taking the proposal further.
“It is intended that community consultation will be held from November 19 till close of business December 21,” the report states.
“The community engagement includes website content, advertising, community meeting/briefing and an online survey.
“Council should note that if the proposal is agreed to, then a commercial rate of return will be negotiated with Regis Resources for the sale of the treated effluent.”
Mr Sherley yesterday said such a deal with Regis would be a first for council, though neighbouring Orange City Council has long had an arrangement to supply water to the Cadia gold mine.
That deal has come under fire during times of low rainfall when Cadia has been blamed for strict Level 5 water restrictions imposed on Orange residents while the Bathurst region has remained proudly restriction-free.
Mr Sherley said Regis had not indicated if the Kings Plains mine could go ahead without a deal with council.
“Obviously they [Regis] want a secure supply of water and we’re an option, but council does not know if they have explored other options as well,” he said. “If councillors agree to call for feedback, we will hold a number of consultation meetings to provide the community with more information.”
Regis Resources managing director Mark Clark, in a letter to council, said the mine construction, if it goes ahead, would cost around $150 million, with about half of that to be spent locally.
Regis anticipates the creation of 200 new jobs during the 12-18 months it takes to build the mine and 150-400 jobs when the mine is operating.
Bathurst Community Climate Action Network chair Tracey Carpenter yesterday expressed concerns with the proposal, but said the network would be seeking more information.
“One concern, though, is that we end up in the same position that Orange finds itself in,” she said.