Court reopens Coromandel to gold miners

By ANNE BESTON and AINSLEY THOMSON

Mining companies can once again make a grab for gold on the Coromandel Peninsula after a ruling by the Environment Court.

But environmentalists say they want to appeal against the decision, which they say ignores public opinion and raises doubts about the Coromandel's future as a green resort.

The decision has reignited the environmental battle that has divided the Coromandel for years.

Gold worth $10 billion is believed to be still in the peninsula.

Environmentalists thought they had won the fight when in 1997 an amendment to the Crown Minerals Act banned mining on Department of Conservation land north of a line from Kopu towards Pauanui, and in 1998 the Thames Coromandel District Council banned mining in coastal and conservation zones and in all recreation and open space policy areas.

But the Minerals Industry Association and the Ministry of Economic Development wanted mining to be classified as a discretionary activity on coastal and conservation land, meaning it would be possible to apply for resource consents to mine.

The dispute went to the Environment Court in May.

This week, the court gave its decision. It reclassified underground mining as a discretionary activity in all areas, enabling mining companies to apply for resource consent.

Surface mining was classified as non-complying in conservation and coastal areas - except recreation and open space areas - meaning resource consents could be obtained, but only under strict conditions.

The court ruled that the "prohibited" status should be confined to areas where it was justified.

Excluding mining from large tracts of the peninsula reflected an attitude towards the industry that was inconsistent with other activities which could produce adverse environmental effects.

The Ministry of Economic Development and the Minerals Industry Association welcomed the decision.

The ministry said it was consistent with its stance "to have appropriate provision made for the responsible use and development of these valuable resources".

Minerals association spokesman Peter Atkinson said the decision helped resolve differences between the industry and the council.

"All we have ever sought was for the minerals industry to be treated the same as any other industry."

He did not think there would be a sudden rush of people trying to gold-mine on the Coromandel.

"I would think it would take a while for anyone to show interest again."

The Thames Coromandel District Council said it wished to study the decision further and would seek clarification from the court on some matters.

There is legal confusion whether the decision overrides the 1997 law change which put all Department of Conservation land off-limits to mining.

Thames environmental planner Graeme Lawrence said it could.

"A mining company could come along and ask to mine on just this bit of conservation land, otherwise why have the companies made the effort to do this?"

He said the decision was an "excessively narrow" interpretation of prohibited activity under the Resource Management Act.

"It's an interpretation that will send shivers down the spines of councils and planners throughout the country."

The council's district plan would now have to be rewritten to enable mining.

Anti-mining group Coromandel Watchdog said the decision was absurd.

Spokesman Mark Tugendhaft said it failed to recognise the vast environmental differences between underground and open-cast mining and forestry and quarry operations.

"We will look for any points of law that will allow us to appeal ... We must fight to save the Coromandel."

Green Party co-leader Jeanette Fitzsimons, the former MP for Coromandel, said the decision did not protect coastal areas of the peninsula.

Gold v Green

* Gold mining has been prohibited in the Coromandel since 1998.

* The Environment Court has ruled that companies can apply for consent for underground mining.

* Environmentalists say underground mining harms the area by causing dust, vibration, noise and acid seepage.