A proposed expansion of Newcrest Limited’s Cadia mine could potentially create another 100 jobs for Orange.
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However, the expansion has been put on hold as the gold miner works to repair damage from an earthquake in April.
That earthquake caused an estimated $33 million in damage and halted production in the mine’s two panel caves and company has been working through its stockpile.
Newcrest revealed some of the details of the potential expansion in a statement to the Australian Stock Exchange.
A “pre-feasibility study” has been completed and says the Cadia’s production could potentially ramp up extract 35 million tonnes of ore annually.
“The permit modification process and the feasibility study (once commenced) is designed to enable the start of construction in the 2018 calendar year should the project be approved,” the company said.
To enable and take advantage of higher production, Newcrest will need to build a new ore concentrator, tailings pipeline, upgrade the dewatering facility and build a plant to separate copper from other alloys.
Before the expansion can proceed Newcrest’s board must approve the “pre-feasibility study” and commission a feasibility study as well seeking additional permits and environmental protection approvals.
“The scope of the feasibility study is currently being refined and will incorporate learnings from the recent seismic event and will also examine opportunities to increase throughput beyond 35 million tonnes per annum,” the company said.
Newcrest expects to be required to pass environmental assessments for noise, air quality, water balance, road transport, Aboriginal heritage and biodiversity.