Cadia mine flood and evacuation: Owner Newcrest releases ASX disclosure statement for investors

Last week Australian Community Media reported the site - Australia's largest gold deposit - has been vacated underground due to "vent instability."

It has since emerged an aquifer was hit, filling the mine with at least 160 metres of water. Multiple government departments are now investigating.

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Newcrest says it is in the process of fixing the problem, and does not expect production or profit to be impacted this year.

The disclosure statement was filed with the Australian Stock Exchange (ASX) yesterday - about two weeks after authorities were notified. It says, in part:

"Activities are underway to remediate instability identified in a ventilation rise at its Cadia mine, which are not expected to impact FY23 production.

"All surface activities remain operational, with significant surface stockpiles available for processing well into September 2022.

"Underground mining has been temporarily suspended and is expected to recommence in the coming weeks, once works to safely backfill the rise have been completed."

It's unclear how many Cadia staff or contractors are temporarily off work, with all instructed not to discuss the incident publicly.

Newcrest stocks dipped very slightly following yesterday's ASX disclosure, but have since rebounded to their previous price.

The company is keeping tight-lipped about the status of the mine, but a meeting to update Blayney Council has reportedly been pencilled in for August 8.

Full Year Financial Results for Newcrest are due to be released on 19 August 2022, and an "update on activities will be provided."

Nearby Cadia Road was closed to the public earlier this week due to the incident, and residents have been told it may not reopen for months.

This is a developing story, and Australian Community Media will updated when more information becomes available.

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