Mine Rehabilitation Bonds
WRITTEN QUESTIONS
9th Assembly
16/07/2004
144. Mine Rehabilitation Bonds
Mr Wood to MINISTER for Mines and Energy
QUESTION1. The DBIRD website lists 10 operational mines in the Territory of these mines –
(a) what amount of money does the government hold as a rehabilitation bond for each mine; and
(b) if not a bond, is any other money held for rehabilitation.
2, The DBIRD web site lists 15 mines as closed, of these –
(a) which of those mines had a rehabilitation bond;
(b) to what extent has each mine site been rehabilitated; and
(c) who paid for rehabilitation.
3. What is the total sum of money being held by the Department/government in rehabilitation bonds for NT mines.
ANSWERAnswered on 24/09/2004
C:\TEMP\F.Notes.Data\Aqsts144.doc
The attached table shows the amount of money the Government holds for each of the 10 operational mines. The table includes the type of security (i.e. cash or bank guarantee).
With respect to the operating mines, each mine is required to submit an updated Mining Management Plan each year. The Mining Management Plan must include a plan and costing of closure activities. Based on these estimated closure costs, DBIRD reassesses the amount of security to be held against the mining operation. If the environmental liability increases the amount of security required is increased. If the environmental liability decreases, the amount of security required is decreased. This annual review encourages companies to undertake progressive rehabilitation and hence reduce the amount of security (bond) required by government.
The attached table shows the amount of money the Government holds for each of the 15 closed mines. The table includes the type of security (i.e. cash or bank guarantee).
Each of these mine sites is still subject to rehabilitation requirements and each site is in the process of being rehabilitated. To date, none of the sites listed have been fully rehabilitated.
Of the sites listed as closed, Warrego mine has recently reopened to process ore from the new Chariot mine in Tennant Creek. The Tanami mine is also being used to treat ore from the nearby Groundrush mine. The Brocks Creek mine has had a substantial amount of rehabilitation completed and is likely to be reopened in the near future.
The Northern Territory Government holds $38 707 239 in security (bonds) against mining operations. This amount does not include a bond for Alcan Gove as this is in the process of being finalised. An additional $38 847 481 is also held against Ranger Uranium Mine, in a Commonwealth Trust Account.
| CLOSED MINES | SECURITY | COMMENTS |
 | | |
| Annie Mine | $5,000.00 | |
| Brocks Creek | $500,000.00 | Bank Guarantee |
| Cosmo Howley / Burnside | $50,000.00 | Bank Guarantee |
| Gecko (see Warrego) | | See Warrego |
| Merlin | $175,000.00 | Bank Guarantee |
| Orlando | $20,000.00 | Bank Guarantee |
| Redbank (Sandy Flat) | $50,000.00 | Bank Guarantee |
| Rustler's Roost | $1,500.00 | Cash |
| Sandy Flat (see Redbank) | | See Redbank |
| Tanami JV (see Granites) | | Included in Granites security |
| TC8 | $6,000.00 | Cash |
| Warrego | Rehab Deed Trust Fund | Value $4,500,000.00 |
| White Devil (see Warrego) | | See Warrego |
| White Range | $10,000.00 | Cash |
| Woodcutters | $2,200,000.00 | Bank Guarantee |
| Yimuyn Manjerr (Mt Todd) | Trust Fund | $254,000 remaining from the original $900,000 |
| | |
| | |
| OPERATING MINES | | |
| | |
| Alcan Gove | $2,000,000.00 NT Bond under negotiation | Held by Commonwealth NT bond under negotiation |
| Chariot | $75,000.00 | Cash |
| Gemco | $12,000,000.00 | Bank Guarantee |
| Groundrush (see Granites) | | Included in Granites security |
| McArthur River | $3,872,025.00 | Bank Guarantee |
| Mudtank | $15,000.00 | Cash |
| Ranger | $38,847,481.11 | Rehabilitation Trust Account |
| Granites | $11,828,649.00 | Bank Guarantee |
| Tom's Gully | $20,000.00 | Cash |
| Union Reefs | $500,000.00 | Bank Guarantee |
| | |
Last updated: 04 Aug 2016