After 32 years and three false starts, Mount Morgan mine in Central Queensland is now the closest it's ever been to restarting.
Heritage Minerals has secured financial backing from the state government for its proposal to use new technology to recover gold and copper through the reprocessing of mine tailings at what was once the world's largest gold mine.
However, the state won't be drawn on a figure, citing commercial confidence.
The project could produce almost $40 million in state royalties in the first seven years and create 150 jobs, with managing director Malcolm Paterson going so far as to say it has the potential to support jobs "for another 100 years" and it will have "the eyes of the world on Mount Morgan".
Treasurer Cameron Dick said the project still needed further assurances but it was on track.
"While the Queensland government's support ... is subject to the project also receiving Commonwealth government and private sector financial support, our backing is a key step forward," Mr Dick said.
All of Heritage Minerals' key permits and approvals, including its environmental authority, are now in place.
Once it finalises funding and finance approvals with the Australian government, which it expects within coming weeks, it can commission further preliminary works.
Mount Morgan, south west of Rockhampton, was founded as a gold mining town in 1882, with about 250 tonnes of gold, 30 tonnes of silver and 360,000 tonnes of copper extracted before operations stopped in 1990.
While it produced great wealth for the region, it also produced toxic byproducts like acid water.
Failed explorations
In 1993, the state took ownership of the mine from Mount Morgan Limited and it began to remediate environmental and safety risks.
Leases were given to the joint venture of Perilya and Aumin, but exploration stopped in 1998.
Moonraker Limited signed an agreement with the state in 2000, but this agreement and the mining leases were transferred to Norton in 2004.
Carbine entered into an agreement with Norton in 2013 but withdrew from the project in 2018.
In 2020, Heritage Minerals acquired ownership of the mining leases.
Economic gold rush
The treasurer said the project would provide financial and environmental benefits to the local community.
"Heritage Minerals' proposal to establish a tailings processing plant on the site is a game changer with the potential to process nearly 10 million tonnes of existing gold ore tailings, recovering an estimated 263,000 ounces of gold and 5,600 tonnes of copper," Mr Dick said.
Member for Rockhampton Barry O'Rourke said the initial seven-year plan may be just the start of Mount Morgan's rejuvenation.
"Given the amount of gold and copper remaining on site, there is potential for the tailings processing plant to continue operation for decades to come," he said.
The project will support up to 250 jobs during construction and then around 150 jobs will be required to run the commissioned mine.
Plans to hire local employees are underway with the assistance of economic development agency Advance Rockhampton.
Executive manager Greg Bowden said the town was set to benefit from more employment opportunities.
"This is a town with historically high unemployment, a project like this means local jobs for Mount Morgan ..," he said.
"This is a project we cannot wait to see come to fruition."
Member for Keppel Brittany Lauga said the skills and dedication of the CQ workforce made investment decisions much easier for resource companies.
"They know they can count on the men and women of CQ to get the job done," she said.
Environmental savings
The treasurer said the project would contribute "significantly" to reducing the state government's environmental site management costs.
Heritage Minerals' plans include the construction of a new water treatment plant to lower the level of contamination in the open cut pit, treat all water captured by the site's seepage interception system, and help meet regulatory requirements for the release of treated water into the Dee River.
New technology would allow the process to reduce cyanide consumption by 50 per cent, detoxifying the mine's tailings stream and improving clean water discharge.
Rockhampton Regional Council Mayor Tony Williams said the project had the ability to "change the face of Mount Morgan", while Mount Morgan Divisional Councillor Cherie Rutherford said residents had been "waiting patiently for things to turn their way" and this was another "fantastic" outcome.
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