Waihi agreement claims refuted

Claims a gold mining company in Waihi is forcing home owners affected by the Correnso underground mine to sign a waiver of in relation to ex-gratia payments are being refuted by Newmont Gold.

A Waihi resident, who has asked not to be named, is concerned Newmont Gold is writing clauses into agreements with home owners over the development drives for the new underground mine.


A view of the gold mine in Waihi as seen from the road.

'The company has always said owners would not be required to sign a waiver of any sort in relation to ex-gratia payments, which is not true.

Newmont Gold external affairs coordinator Kit Wilson says owners of properties located over planned tunnels for the proposed Correnso underground mine must receive the offer of an ex-gratia payment from Newmont prior to any mining occurring under their property.

'It's the owner's choice as to whether they accept the offer. Only one offer need be made.

How that offer is determined and managed is outlined in detail in the consent conditions that were agreed following nine days of court-assisted mediation with appellants, namely Waihi residents and/or their representatives, and then approved by the Environment Court in October 2013.

'In accepting the ex-gratia offer the property owners are required to sign an agreement, not a waiver, outlining the expectations of both parties.”

Kit says the ex-gratia agreement does not prevent people from pursuing other processes, or raising concerns.

He says a waiver would prevent people from doing that.

'The ex-gratia agreement sets out the expectations of both parties; a) that Newmont must adhere to strict consent conditions and b) that the property owners are aware of the relevant consent conditions and what they mean in practice.”

The concerned resident also raised an issue about property values saying values in Waihi have dropped by 17.3 per cent since the Correnso underground mine development was announced.

'Their spokesperson denied knowledge about the waiver clauses and blamed residents, who have tried to raise their concerns for the property values falling.”

Newmont doesn't believe there is any one factor determining the current state of the property market.

Kit says property values are influenced by a variety of factors and over time the property market moves between peaks and troughs.

Waihi's 17.3 per cent median price change in 3 years to 31/03/2014 was reported in the June 9 QV Property Report newspaper lift out in the NZ Herald.

Kit says in the same lift-out and within the same region Pauanui had an 18.7 per cent decrease in median price, with Whangamata and Whitianga also experiencing a decrease.

'As far as we understand, none of these areas have mining.

'Local activity is reviewed every six-months by an independent property valuation company to ensure Newmont's activities are not distorting the market value.”

The resident is also concerned that Newmont Gold is using the Resource Management Act in attempts to gain access under people's homes.

Kit says the Environment Court approval is based on the RMA, which is the process the company must follow to gain consent to extract minerals.

'These conditions are available on the Hauraki District Council and Newmont Waihi Gold websites. The conditions related to the property programme requirements are located in clauses 46 to 60.

'The process to gain a land access agreement [as per the CMA] has different requirements to the ex-gratia process Newmont is obliged to undertake by consent.”

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