8th February 2019

A mine in the State’s far-west has been shut down temporarily, after the Resources Regulator suspended the titleholder’s mining lease.

The suspension follows the discovery of breaches the mining lease and a determination that the titleholder is not currently a fit and proper person.

Aus Gold Mining Group Pty Ltd was issued a suspension notice on 4 February 2019 for mining lease 1322, known as the Good Friday Gold Mine, located approximately 26 kilometres south-west of Tibooburra.

The Regulator’s Chief Compliance Officer, Anthony Keon, said the decision requires Aus Gold to immediately suspend all operations at the Lease, with the exception of activities required to maintain a safe workplace or to undertake environmental rehabilitation.

“The Regulator formed the opinion that Aus Gold is not currently fit and proper to hold a mining authorisation, as the management of mining activities at the site were no longer under the control of a technically competent person. Additionally, Aus Gold could not demonstrate its financial capacity to ensure ongoing compliance with the state’s mining laws,” Mr Keon said.

“Further, Aus Gold has failed to comply with other obligations under the Mining Act and as a result their authority has been suspended. The breaches related to failing to report an environmental incident, failing to lodge a mining operations plan and not notifying the Regulator of a suspension of operations demonstrated a poor compliance approach.

“Aus Gold must satisfy the Regulator that it can come back into compliance and the Regulator will monitor progress over the coming months.”

Failure to comply with the suspension may result in a maximum penalty of $1,100,000 for a company and $220,000 for an individual.

The mining lease was transferred to the titleholder in June 2015 and is set to expire on 22 July 2024.

The decision can be found at: https://www.resourcesandgeoscience.nsw.gov.au/regulation/compliance-and-enforcement/mining-act-cancellations-and-suspensions