Terramin lodges an appeal over government’s decision to block its Bird in Hand gold mine

Mining company Terramin Australia has lodged an appeal against a Supreme Court decision upholding the state government’s move to block its gold mining project at Woodside.

The Bird in Hand Winery at Woodside. Picture: Tricia Watkinson

Mining company Terramin Australia has lodged an appeal against a Supreme Court decision upholding the SA government’s move to block its gold mining project at Woodside in the Adelaide Hills, arguing Mining and Energy Minister Tom Koutsantonis went against departmental advice.

Adelaide-based Terramin has, for the past 15 years, been trying to develop a gold mine at Woodside, on a piece of land surrounded by wineries including Bird in Hand, Petaluma and Artwine.

The wineries, along with a group of local food producers, fought the proposal from the early days, arguing the risk from mining operations to the aquifer that supplied their properties was too great.

Mr Koutsantonis blocked Terramin’s mining lease ­application last February, saying it was not a decision he took lightly, but he was “acutely aware of community concerns”.

“The area of the proposed mine is home to a world-class viticulture industry, producing some of Australia’s best-loved wines,” he said at the time.

SA Mining and Energy Minister Tom Koutsantonis.

“Tourism to the region is a critical contributor to the local economy and, on balance, there remains a possibility this proposed short-term mine may adversely affect the established and significant long-term agricultural and tourism industries of the Woodside area.’’

In August, Terramin began legal proceedings challenging his ­decision and also a proposal put to the Governor to “reserve” the area that contains the gold deposit, which would prevent any future mining.

Terramin’s case was dismissed in January, however the company has now lodged an appeal. The company, in a statement released on Monday, said the minister’s actions in deciding to decline Terramin’s mining lease application “were contrary to the positive recommendation of his own Department for Energy and Mining’’.

“The department’s comprehensive technical assessment concluded that the Bird in Hand gold project could be developed with no adverse environmental or socio-economic impacts, a conclusion based on extensive, independent, peer-reviewed studies over several years,’’ the company said.

“Terramin remains steadfast in advancing the (project), which represents an opportunity for sustainable development aligned with the highest environmental and community standards.’’

If the project progressed, the mined ore would be trucked to Strathalbyn, where it would be processed at the company’s Angas mine, which previously mined zinc.

“The company will pursue all legal avenues to secure the project’s future and will provide updates on the appeal process and operational progress in due course,’’ Terramin said.

The Inverbrackie Creek Catchment Group, a long-time opponent of the proposed mine, said in January that drought years such as the current one showed the importance of protecting water sources.

“People around here are saying their bores aren’t quite as high as they should be with the lack of rain and are saying ‘Imagine if there was a mine’,’’ chairman Jim Franklin-McEvoy said.

“Anything that affects water locally and for the state is so important. The science that we put forward showed that it was clear the risk was great, whatever measures they put in place.’’

Terramin shares were 1.2 per cent lower on Monday at 8c.

Originally published as Terramin lodges an appeal over government’s decision to block its Bird in Hand gold mine