above: A drill rig site prior to the rig arriving. When the rig leaves we will post another photo.

below: Local secondary school students visit a drill rig.





above and below: A drill rig operating in pine forest





Exploration drill rigs

There have been concerns expressed in the 'Letters to the editor' in a local paper and in correspondence sent to Newmont Waihi Gold regarding exploration drill rigs. People want to know what the rigs are doing and how they do it. Here is our reply to a recent correspondent. If you have concerns, or want to know more, feel free to contact us.

Thanks for your email and inquiries regarding Newmont Waihi Gold exploration drilling activities. We appreciate you taking the time to write and we are very pleased that you have contacted us.

To answer your immediate queries:

Drill fluids
The drilling fluids used on exploration drill rigs are the same as those used in drill rigs up and down the peninsula that drill bores for potable water supplies. All drilling fluids we use are approved by Environment Waikato. The fluids are a synthetic biodegradable polymer that provides the viscosity needed to lubricate the hole. They look a bit like wallpaper paste. The white colour you observed is a result of the type of rock the drill is cutting through. In other places it could be grey or dark red.

The fluids that you saw in the sump are constantly recycled down the hole. No fluids are allowed to be discharged offsite during the operation. The sump is self-sealing. The suspended solids in the fluid effectively line the sump and prevent leakage. If necessary, (for example where the ground is very porous) the sump is lined with plastic. In most cases when the drill hole is finished any excess in the sump is removed by a ‘sucker truck’

All fluids we use have Material Safety Data information (MSD). This information states what is in the fluid, how it must be stored, used and disposed of. The MSD also lists what, if any, other materials should not be used in association with the fluid.

One of your concerns is that drilling fluids may contaminate the local water supply. This is highly unlikely, for the reasons detailed above, and especially when the same fluids are used by drillers who are actually looking for drinkable water supplies. Environment Waikato advises that Onemana takes its water from fractured rock aquifers. They state that the real danger of contamination of this water supply is the aquifers drawing in salt water as they are depleted, and in microbial contamination from septic tanks. Both salt water intrusion and the potential for microbial contamination increase in summer when the population of the region increases significantly.

Exploration drilling
Exploration drilling is undertaken to investigate at depth what mapping, stream sediment sampling, rock sampling, soil surveys, and a number of geophysical investigations have indicated at surface. It is the only definitive method of determining if there is likely to be a mineable deposit.

You are correct, exploration drilling may be a precursor to mining, but just because there is a drill rig in an area does not mean that a mine will follow. Exploration activity on the Coromandel Peninsula over the last thirty years has only resulted in three new mineable deposits being discovered at Favona, Trio and Golden Cross. (Martha was an historical mine that also required drilling to determine if there were sufficient ore grade remnants to mine). It is generally regarded that the success rate is one mine for every one thousand prospects. Do not think that just because you see a rig that a mine will be constructed.

You also need to be aware of the comprehensive consents we must receive prior to a drill rig arriving on site. Our operations must comply with the District Plan. We may need to consult with iwi. We may need archaeological or ecological reports. If we wish to use water from a stream we will require a resource consent. We must meet requirements from national, regional and local bodies. In addition, we are required to negotiate access with the landowner and occupier prior to conducting any exploration activity.

We are looking for a high grade deposit capable of being mined by underground methods. Should we find such a deposit, the resource consents required to construct a mine require very detailed and lengthy input from a wide range of people and groups through the RMA process. You and anybody else would have the opportunity to present your views, and we welcome this.

We agree with you that there are many beautiful places on the Coromandel Peninsula. We have stated before that there are many places in the region that we would not explore. We have no desire to mine in National Parks. We have no desire to mine on high value conservation land.

Where we will differ with you in our respective views is that we believe that we can construct a mine in such a way that the environment is safeguarded and there is a net benefit to the region. For example, currently we provide about $50,000 each year to fund the Dotterel Watch programme on the peninsula. I am sure you are aware of it (and I also note that EarthWatch Whangamata regard this as ‘buying influence’). Last year we planted almost 49,000 native trees and shrubs. To date we have planted a total of 450,000 plants in and around Waihi. Given the loss of biodiversity and quality habitat in the Coromandel region, one of our aims would be that if a new mine was to be constructed we would work with local communities, councils, established experts and authorities on targeted high value projects that can demonstrate measurable positive results. It is becoming increasingly obvious that good conservation work is expensive. Quality results don’t come cheap, and they certainly don’t come just by locking up land. We are in a position to assist, and would expect to do so, not as an ‘add on’ but because it is an integral part of how we operate. We live here too. The overwhelming majority of our staff are Kiwis who have lived in the region for a long time. The Coromandel is our backyard, and we don’t wish to see it degraded.

It will be possible for you to dismiss this response as corporate spin from a desk-bound letter writer, or that we are, to quote the EarthWatch website, going to overwhelm you with consultants, technical data and a well designed public relations campaign, so here is our offer. Come and see us in Waihi. Spend a whole day here. Bring a friend. Bring a camera. We will take you anywhere on site, answer any questions, and provide any information at our disposal. It won’t all be one way. We would like to listen to your views too.



Regards

Sefton Darby
External Affairs manager
Newmont Waihi Gold