Media Release

New Zealand Best Practice for planned Buller Mine

7 March 2005

New Zealand best practice for planned Buller mine'

Solid Energy's plans for the proposed Cypress Opencast Mine in the Upper Waimangaroa, north of Westport, will result in "best practice in environmental management for coal mining in New Zealand," the company's Chief Executive Officer, Dr Don Elder, told a hearing in the Environment Court in Christchurch today.

The court is hearing appeals from the Buller Conservation Group, Forest and Bird and Te Runanga O Ngati Waewae against resource consents granted for the proposed mine in June 2004 by the Buller District and West Coast Regional Councils. The Department of Conservation and local group, Ngakawau Riverwatch settled their appeals, following agreements reached with Solid Energy and the Councils on their issues of concern.

Dr Elder told the Environment Court that in planning for the Cypress Mine, "Solid Energy has been particularly aware of the likely effects of the mine on the Great Spotted Kiwi and the land snail Powelliphanta 'patrickensis.' Solid Energy has been advised by expert consultants that the mitigation and management proposed for the kiwi and the snail means that the benefits to those species and other species as a consequence will, produce a net conservation benefit."

Since the original resource consent applications were granted Solid Energy and the Department of Conservation have agreed that areas within the Upper Waimangaroa mining permit will be set aside from mining and managed to secure certain ecological values in the area. The company will consult with the Department, among others, on its mine rehabilitation programme, the kiwi and snail management plans and the predator control programme.

Both the kiwi and snail habitat enhancement programmes will be separately bonded and the bonds will not be released until certain criteria have been met.

Solid Energy has strengthened water quality monitoring conditions for the planned mine in response to concerns by Ngakawau Riverwatch. Solid Energy has also set up a local consultative group, whose members include representatives of Riverwatch.

Dr Elder told the Environment Court that the planned mine was a key part of its strategy to ensure consistent supply to its export markets which included coals for specialists uses and coking coal for steel making.

He told the Court that some of the company's past mining practices have been unacceptable. "However, I believe that our more recent and current practices demonstrate our new approach. I believe that Solid Energy's approach to this consent application and the work that has been put in to plan for the mine, to avoid and mitigate effects where possible, and to plan for biodiversity gains and progressive rehabilitation represents best practice in environmental management for coal mining in New Zealand and will position us at international practice .... "

The proposed Cypress Opencast Mine is expected to produce around 5 million tonnes of coal over 10 years. The mine will have a footprint of 260 hectares comprising two pits (105 hectares), overburden disposal area, roads, water treatment facilities and associated infrastructure. Rehabilitation will be carried out progressively over the mine's life. Expert evidence will be presented to the Court on all these issues over the forthcoming week.

For further information contact

Vicki Blyth,
Communications Director,
Solid Energy New Zealand Ltd,
Phone 03 345 6000,
Mobile 021 670 250,
Email vicki.blyth@solidenergy.co.nz

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