Newmont Waihi Gold has announced a policy worth millions of dollars to maintain property values and improve community amenities in Waihi.

This policy announcement comes at a time when Newmont Waihi Gold is about to seek resource consent to build a deep underground mine beneath the Waihi township.

Waihi.

If continued mining activity is approved, Newmont Waihi Gold general manager Glen Grindlay says it will sustain jobs and economic growth in and around Waihi until at least the end of 2020.

The Correnso proposal, a potential deep underground mine in Waihi East, would involve mining beneath some residential properties.

It would replace the existing underground Favona and Trio mines, due to finish operating by the end of 2014. To go ahead, Correnso will require consents under the Resource Management Act.

Glen says the company plans to lodge applications within the next few weeks.

'Approval of the Correnso Mine would sustain around 400 direct jobs and at least another 350 jobs attributable to our mining operations.

'During these tough economic times it would also open the door to the investment of hundreds of millions of dollars in the region.

'This ongoing employment and investment has been shown to increase and sustain the value of the local property market.”

The new Property and Community Investment Policy (PCIP) released today has been developed through extensive consultation with residents, community groups and Hauraki District Council.

It addresses issues that have been raised following the company's Correnso announcement in August last year.

While the policy will be implemented immediately, NWG has not yet lodged any applications for resource consents for the project for which the policy has been developed.

The key components in the PCIP relate to property purchases and/or assisted private sales (‘Top Up'), a process to arbitrate property claims, a ‘Streets Ahead' fund to be used for community facilities and more energy-efficient homes, and a review of the current Amenity Effect Programme (AEP) payments.

The policy proposes that governance of the PCIP is undertaken by a forum made up of residents and representatives of the district council and NWG.

The forum will appoint the members of an independent review panel (the IRP), which will act like an ombudsman on property matters.

While the policy covers Correnso and some aspects of current operations, it is also intended to apply to any future mining operations.

'Our focus is on maintaining and increasing property values, particularly in the project area.

'We want to avoid potential distortion of the property market brought about by the announcement of our proposals so that people still have choices and don't feel trapped by what they perceive as effects of mining.

'The people and organisations potentially most affected by Correnso proposals are in Waihi East, but many organisations in the town as a whole have contributed to formulate the PCIP.

'Since August we have been meeting with groups and visiting residents in their homes.

'We wanted to make sure they have the information they need and we wanted to listen to their views.

'We also opened a Golden Link Information Office in Waihi's main street.

'All feedback was used to assist us in developing the policy.”

Glen says that, if consented, the Correnso mine could begin producing precious metals in 2015.

'Some people close to the project area have told us their lives have been on hold since we announced Correnso proposals last August.

'We realise that three years of uncertainty is a long time for those people and that is why the policy will kick in immediately, before we know the outcome of the consenting process.”

In addition to launching the PCIP, NWG has undertaken to make an offer to purchase a number of properties that were already on the market on 23 August 2011, the date the Correnso proposals were announced.