Regis mine planning in the pipeline

Regis has walked away from a plan to buy up to 10 megalitres of treated effluent a day from Bathurst Regional Council to run the new mine near Blayney after securing two new water supply options.

The first option – and Regis’ preferred option – would see waste water from the Mount Piper Power Station and Springvale Coal Mine near Lithgow piped 70km to the McPhillamys site.

The second option would see Regis utilise unused water access licences within the Lachlan catchment, about 80km from the McPhillamys mine.

The next step for Regis is to determine a preferred route for the 400mm diameter pipeline to the mine.

“The feasibility assessment will involve communications with property owners along proposed pipeline route options in order to formulate access agreements so that the necessary environmental baseline studies in relation to the pipeline can be completed,” the company said.

“The studies required for the pipeline route options from Lithgow will be commenced shortly.

“The commencement of studies along proposed pipeline route options from the Lachlan Zone 2 area are of a lower priority at this time.”

Regis expects to have a full feasibility study into the McPhillamys mine completed by the December quarter this year, along with an environment impact statement to be submitted to the Department of Planning and Environment.

Executive chairman Mark Clark said securing the two water supply options was a major boost for the project following protracted negotiations with Bathurst Regional Council.

“We look forward to bringing to a head our technical work on the project in the next six months with a view to moving the project in to the permitting phase and then ultimately into development,” he said.

“With an open pit resource of 2.2 million ounces of gold located in Australia, McPhillamys is a very significant organic growth opportunity for Regis.”