Hon Paul Llewellyn questions the Minister for Resources regarding the rehabilitation and closure plan for the KCGM Superpit expansion, including timelines, costing, bond amounts, and policy changes related to open pit rehabilitation. The Minister provides responses clarifying timelines, costs, and bond coverage.

AnsweredQoN 6227Legislative Council
Asked
10 April 2008
Portfolio
Resources

QuestionView source ↗

(1) Is it correct that the Department of Industry and Resources (DoIR) requires the rehabilitation and closure management plan for the above referred to expansion to be finalised in January 2008?
(2) If no to (1), when is finalisation of that plan required?
(3) Has a rehabilitation and closure management plan been completed by KCGM which is fully costed with cost for completion of activities, as per DoIR’s request to the holder of Mining Lease 15/133?
(4) If no to (3), why not?
(5) Will the Minister ensure that KCGM’s rehabilitation and closure management plan to be completed by KCGM is fully costed with cost for completion of activities?
(6) If no to (5), why not?
(7) Can the Minister indicate what the total rehabilitation and closure costs for the superpit operations are as of the end of March 2008?
(8) If no to (7), why not?
(9) Given that the closure cost of the KCGM superpit operations was estimated to be between $93 million and up to $115 million in the year 2001, will the Minister impose or request that the bonds are substantially increased to protect the community during the life of the mine and thereafter, given it is so close to a major population?
(10) If no to (9), why not?
(11) Has the policy referred to in the answer for question without notice No. 277, which requires open pits not to be backfilled or rehabilitated, changed?
(12) If yes to (11), why and when, and on what date did this change?
(13) As per the answer provided for question without notice No. 571, will the Minister state for each individual tenement covering KCGM (Barrick Mines and Newmont Gold) superpit operations, the amount of bond held, the total bond figure for the whole operation and the area in hectares of disturbance on each tenement for which the bond was calculated?
(14) If no to (13), why not?
(15) Does the bond on the KCGM superpit operations specifically cover the open cut workings itself and the potential for pit wall failure?
(16) If no to (15), why?
(17) If yes to (15), can the Minister explain how the bond covers the open cut workings and the potential for pit wall failure?

AnswerView source ↗

Answered
29 May 2008
Responded by
Leader of the House representing the Minister for Resources
Response time
49 days
The Minister for Resources has been provided with the following response
1. KCGM is required to submit a Closure Plan by 30 April 2010, as per an Environmental Protection Authority requirement. A preliminary closure plan will be required in the Mining Proposal document.
KCGM was required to submit a Rehabilitation Management Plan to DoIR by 31 January 2008. The Plan has been submitted and is under assessment by the Department.
2. Not applicable.
3. The Rehabilitation Plan is still under assessment.
4. Not applicable.
5. Yes.
6. Not applicable.
7. DoIR's estimate of KCGM's potential total rehabilitation and mine closure cost is between $200 - 240 million.
8. Not applicable.
9. Yes.
10. Not applicable.
11. No.
12. Not applicable.
13. [See tabled paper no. ]
14. Not applicable.
15. No.
16. Bonds are required under the Mining Act 1978 to ensure that sufficient State funds are available to rehabilitate land disturbed by mining if a  tenement holder does not fulfil environmental obligations. Matters of  safety are administered under the Mine Safety Inspection Act 1994 through  DoCEP.
17. Not applicable.
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