Mount Todd Gold project pleads guilty of damaging Yinberrie Hills sacred site, near Nitmiluk National Park
A multinational gold mining company has accidentally revealed it had damaged an Aboriginal sacred site near a Territory national park.
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A multinational gold mining company accidentally revealed it had illegally damaged an Aboriginal sacred site near a beloved Aussie national park.
Last Wednesday Vista Gold Australia pleaded guilty to carrying out illegal works and damaging a sacred site at its Mount Todd Gold project, on the edge of Nitmiluk National Park in the Northern Territory.
The company’s chief executive Fred Earnest flew in from Colorado to explain to the Darwin Local Court judge Steve Ledek how the company’s exploratory gold project drilled into the Yinberrie Hills site on Jawoyn Country.
Mr Ledek heard Mount Todd was no stranger to gold prospectors, with half a century of mining operations resulting in more than 13m tonnes of ore being crushed, stacked into a heap and leached.
In 2006 Vista Gold acquired the closed mine, and has spent $120m on site management, exploration and development with the aim of reopening the Mount Todd Gold Project.
The company’s website estimates there are 7.8m ounces of gold still buried in Mount Todd, in what it calls “one of the largest and most advanced undeveloped gold projects in Australia”.
The former NT Labor Government awarded the inactive gold mine ‘Major Project Status’, despite the NT Environmental Protection Authority not approving its reopening.
NT EPA documents highlighted the project “hosts a number of Aboriginal sacred sites including Mt Todd itself and the Yinberrie Hills, which are considered to be of the highest significance to the Jawoyn people”.
The Aboriginal Areas Protection Authority certificate identified the sacred site in the area, marking areas where no works could take place.
Judge Steve Ledek heard that some time after March 2020, the Canadian-owned gold mining exploration company started drilling into a restricted area in the ‘Batman pit’, an open-cut mine left by previous operations.
The 26 drills pulled out samples which suggested a deposit of 1.8 to 3.5 million ounces of gold and other valuable material, with the company celebrating striking gold by releasing a media statement to the New York Stock Exchange in June 2022.
Ironically it was the release about the discovered riches that tipped the Aboriginal Areas Protection Authority to the illegal works.
Of the 26 drilling locations, half were in the protected sacred site area.
AAPA said the mining activity cause damaged to the sacred site, clearing grass and vegetation, levelling the drill pads and in some instances, dumping the excavated material in at the edge of the drill pads.
When Mr Earnest was asked if he was “embarrassed” by the drilling announcement, he said “as far as I knew we had completed a program that was successfully executed”.
He said he was not aware the works were unauthorised, saying the exploration team or the Darwin-based general manager Brent Murdoch had assured him the drilling was approved.
But Mr Earnest acknowledged ultimately the green light to authorise the drilling program went “all the way up to the board of directors”.
“This came down to the question of ‘should I as the CEO be expected to be thoroughly conversed with and have an understanding over every law and regulation that governs our activities?’” Mr Earnest said.
“And it was concluded by the board that would be an unreasonable expectation, and that’s why we have employed (local) people in each jurisdiction where we work.”
When asked if any disciplinary action had been taken, Mr Earnest said those involved had their bonuses cut by 25 per cent that year.
Mr Earnest said he was personally disappointed Vista Gold had not lived up to its ethical and cultural obligations by damaging the sacred site, particularly after bringing Jawoyn representatives to “walk the ground” and identify areas of heritage concern.
“We have a saying that ‘your social licence is yours to lose’,” he said.
“Our team should have been more aware of the limitations and obligations with regards to the authority certificate.
“This black mark (means) we’re going to have to work really hard to regain the trust of certain individuals and organisations here in the Northern Territory.”
He said after the incident, the company had reviewed its documentation process, developed worksite maps to clearly identify the sacred sites, and would install signs around the restricted areas.
Mr Earnest also told the court when the company took over the site, it entered into a $1m agreement with the Jawoyn Association Aboriginal Corporation, and Barnjarn Aboriginal Corporation, providing shares for the rent and use of the surface overlying the mineral leases.
He said the company was renegotiating a royalties deal, increasing a promised 1 per cent of the future gross proceeds to the Aboriginal corporations.
Vista Gold’s barrister, Dr Cameron Ford, has pushed for a conviction to not be recorded, with the matter adjourned to May 13 for a sentencing hearing.
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