Newcrest seeks to address gold mine air pollution after warning

Cadia, in Australia, is one of the lowest cost gold producers. Credit: Newcrest Mining.

Australian gold miner Newcrest Mining Ltd. is installing filters in the vent shafts at one of its largest mines, after this week being told by authorities to immediately address the “unacceptable” levels of dust being emitted from the site.

The warning is the second the Melbourne-based company, which is being taken over by Newmont Corp., has received this year from the New South Wales state government’s Environment Protection Authority. In May, the authority launched an investigation into Newcrest’s efforts to manage air pollution near its Cadia mine following complaints from nearby residents.

Recent testing showed that Newcrest, Australia’s top gold producer, had fallen “well short” of its legal obligations to meet clean air standards at Cadia, the EPA said Wednesday.

“If Newcrest cannot show its subsidiary is taking immediate action to comply, the EPA will take appropriate action which could include suspension of the license, seeking court orders or issuing further directions,” EPA chief executive officer Tony Chappel said in a statement. “We require the mine to take all necessary steps to ensure dust emissions are significantly reduced and this may include a reduction in production.”

There has been no impact to production due to the issue, a Newcrest spokesperson said, adding that the company has implemented interim measures to comply with EPA regulations and continues to focus on dust mitigation equipment, including the installation of filters.

Newcrest was fined A$15,000 ($10,000) last August for failing to effectively mitigate dust pollution at Cadia, which is forecast to produce at least 560,000 ounces in fiscal 2023. The bullish prospects for the mine helped draw acquisition interest from US gold giant Newmont, which sealed its near-$20 billion purchase in May.

(By Sybilla Gross)

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