Environment

RESPONSIBLE MINING

Mining Life-Cycle Example: The Golden Cross Mine
New Zealand's Golden Cross mine is an excellent example of how Coeur implemented mining life-cycle principles during design, operation, closure and rehabilitation. Steps were taken from the very beginning to protect and enhance the natural environment. An extensive monitoring program ensured that sensitive aquatic and terrestrial wildlife species were undisturbed by mining activities. Plus, close communication with local government agencies, farmers and aboriginal groups helped foster a sense of ownership among all interested parties.

One of the major concerns identified during initial project planning, was potential acid generation by the rock material remaining after mining. As a result, specifications were developed during the early phases of project development to focus directly on material management. The plan included in-pit rock characterization and selective handling of the materials in question. These measures successfully controlled acid generation during the life of the mine. At closure, the pit was partially backfilled and the material was encapsulated with an engineered cover that prevented air and water exposure. These measures have protected, and will continue to protect, surface water resources.

Planning efforts did not end there. A computerized water treatment system was designed to manage and balance water sources to meet stringent quality standards. An aquarium filled with juvenile rainbow trout was used to closely monitor the quality of water discharges from the mine, and continuously evaluate the system's effectiveness. Continuous online monitoring and daily sampling of the mine water was also used to assess water quality. Over the life of the mine, instream programs demonstrated that the ecology of the river was protected from mine activities.

During operations, deep-seated slope movement was detected beneath the tailings facility and rock material storage areas. As a result, a land stabilization program was developed and became another major element of the mine rehabilitation and closure plan. This planning process included technical, as well, as community relations considerations. Coeur invested more than $15 million (U.S.) to successfully control slope movement. Risk assessments and ongoing site monitoring have proven the effectiveness of the company's efforts.

To involve the community during mining operations, a Community Consultative Group was established as a forum to encourage communication between representatives of the community, the company, the regulators and non-governmental organizations. This group assisted in public communication during the land stabilization program and fostered dialogue on a variety of other important topics, including rehabilitation, acid rock drainage control, final land use and closure.

The mining life cycle also includes the reduction in workforce that comes with mine closure. Months prior to closure, Coeur established an employee education program to help prepare 118 employees and their spouses for new careers. The program included courses on change, stress management, budgeting, outplacement and small business development. By addressing the needs of our employees as part of the closure process, Coeur was commended by the labor union representing the employees and the community.