Newcrest restarts another part of Cadia East following earthquake

Newcrest's Cadia East mine

Newcrest Mining expects the Cadia East gold mine in New South Wales to be producing at normal rates by March next year as it continues to recover from the April earthquake that damaged the underground operation.

The gold miner has relaunched production at Cadia East’s Panel Cave 1 (PC1), five months after the Good Friday seismic event. It resumed production at Cadia East’s Panel Cave 2 in July.

Newcrest today reported that it completed the remediation and upgrade work required to restart the Panel Cave 1 (PC1) crusher chamber.

Extraction of ore has, therefore, recommenced from two extraction drives in PC1, the company added.

“Newcrest has submitted final group support plans for the PC1 crusher chamber and extraction level to the regulator, and these have been accepted,” Newcrest explained.

“As a result, the prohibition notice has been amended to allow operations to recommence as areas are upgraded in accordance with the submitted plans.”

Newcrest is continuing remediation and upgrades on other areas in the PC1 extraction level, work it expects to complete by the end of the year. It plans to restore Cadia East’s production rates to normal by the end of March 2018.

The Cadia operation, 25km south of Orange, was hit by a large seismic event early Good Friday morning, suspending underground mining activities.

Fortunately for Newcrest, the mine avoided major damage and injury to workers when the incident occurred.

Gold production at Cadia dropped to 619,606 ounces in fiscal 2017, from 668,773 ounces the previous year, due to the earthquake.

Despite the production falls at Cadia, Newcrest did, however, meet its 2017 guidance of between 2.35-2.6 million ounces of gold.