OceanaGold seeking judicial review into Waihi land buy decision
Thursday, 6 June 2019
Multinational mining company OceanaGold are taking the Government to court after it declined a Coromandel land purchase for a new tailings reservoir.
A company spokesman confirmed it had issued proceedings in the High Court to seek judicial review of Land Information Minister Eugenie Sage's decision to decline the purchase of 178 hectares of land near Waihi.
OceanaGold made an application under the Overseas Investment Act to purchase the land to create the reservoir in a move the company pitched as safeguarding mining's future in the area.
The Overseas Investment Office (OIO) was forced to decline the application, which required the approval of two ministers. The other minister, Associate Finance Minister David Clark approved the purchase.
READ MORE: Mayor says jobs will suffer after Minister Eugenie Sage cans mining company's land buy
The proceedings allege Minister Sage's Decision was flawed as a result of a number of errors of law and irrelevant considerations, amongst other grounds, and should be quashed.
'We take our commitment to invest in our gold mining operations seriously and will continue to work with the community and our business and regulatory partners to honour our commitment to invest and extend the life of the region's gold mining industry and help sustain what is a vital industry for the Hauraki District and the New Zealand economy.'
The spokesman said no further comment on the proceedings will be made while the matter remains before the court.
Hauraki District Mayor John Tregidga said OceanaGold's decision was understandable, but would not comment now it was in front of the courts.
He said the bigger issue was what the decision meant for the future of mining in New Zealand and overseas investment in those mines.
'We'll only have continued gold and silver mines in New Zealand with overseas investment. My question is, is this the coalition government's stance on further mining in New Zealand? Because if we are going to have continued mining, it's going to need OIO approval for future applications whether it's in Waihi or anywhere else in New Zealand.
'I think there is a position here for the coalition government to have a position and to tell not only mining companies that are investing in New Zealand, but for the New Zealand public - what is the coalition's position, or is it just the Minister's?'
Sage's decision in early May was heavily criticised at the time by Tregidga, who called it biased and showed disregard for the livelihoods of more than 360 local workers who are employed by the company.