- Hon Shane Jones
New Zealand is set to benefit from the renewed global interest in gold and other metals and minerals, Resources Minister Shane Jones says.
Mr Jones says a mining permit granted today to extract one of the country's most significant gold discoveries in decades represents a multibillion-dollar opportunity for Central Otago.
New Zealand Petroleum and Minerals has granted Matakanui Gold Limited, a subsidiary of Santana Minerals, a 30-year mining permit for the Rise and Shine prospect, part of the Bendigo-Ophir Gold Project in the Dunstan Mountains.
"This is a major milestone for the progression of a project that will deliver well-paid employment, infrastructure investment, and economic resilience in Central Otago," Mr Jones says.
"The proposed mine will directly employ 357 people and support an additional 500 jobs annually through indirect employment, with a strong focus on hiring locally. The average annual salary is expected to be $140,300, more than double the Central Otago average.
"It's not just localised benefits either. Every New Zealander is set to gain from this development as the Crown collects hundreds of millions of dollars in projected royalties in the first 14 years of operation. The company forecasts it will pay an additional $800 million in taxes. That will go towards meeting our future healthcare, education and infrastructure needs.
"This is also an important project for training our next generation of miners. The operation is proposed to utilise opencast mining initially, and underground mining in later stages which is great news for the sector as these specialised skills are needed to support the growing pipeline of new mining projects across New Zealand over the coming decades.
"This Coalition Government is committed to using the wealth beneath our feet to create regional opportunities, deliver productive jobs that develop skilled workers, bolster trade and exports, and contribute to the prosperity of our people, now and into the future."
As a listed fast-track project under Schedule 2 of the Fast-Track Approvals Act 2024, Matakanui Gold can access an expedited consenting pathway for the remainder of the permissions needed before mining can begin.
"It's projects like Bendigo-Ophir that demonstrate the untapped potential of our minerals estate, even in areas thought to be exhausted by historical mining. I want to congratulate Matakanui Gold on its mining permit and I'm delighted to see it has also submitted a substantive application through Fast-track."
Mr Jones also today welcomed news from Endura Mining, formerly Federation Mining, that it has raised close to NZ$172 million to finance the development of the Snowy River Gold Mine on the West Coast.
"That's money flowing straight into the local economy, the pockets of workers, businesses and the Crown," Mr Jones says.
The former Provincial Growth Fund provided a $15m loan to Federation, as Endura was called in 2019, to help develop the Snowy River mining project near Reefton.
"That investment is proving its worth now with AustralianSuper, Endura's largest shareholder, among the latest investors backing the project. Orion Resource Partners, a multibillion-dollar global investment firm, is another.
"Orion has a long history of investment in metals and minerals. I am delighted to see New Zealand taking its rightful place at the forefront of new investment in mining," Mr Jones says.
