Tasmanian Government to restart Mt Lyell mine

The Tasmanian Government is providing $25 million to Vendata Resources to restart the Mt Lyell copper mine by 2017.

State premier Will Hodgman made the announcement during a Tasmanian trade mission to India, India’s Economic Times reports.

“We have offered $25 million financial package to sustain the operations to Vedanta for copper mines,” he said, according to NDTV.

Hodgeman said the mine had 200 million tonnes of reserves, with a 100,000 tonne annual output.

“It is a sizable operation and at its peak could employ well over 300 Tasmanians,” he said.

“So it is an important opportunity for us to demonstrate our support to Vedanta [and] the Copper Mines of Tasmania.”

The mine, run by Vedanta’s subsidiary Copper Mines of Tasmania (CMT), went into care and maintenance two years ago following the deaths of three workers.

Two men had been killed in a mine shaft accident, while the other died after a mudslide a few weeks after.

CMT and its general manager are still facing charges over the death of the man during the mudslide; the company for failing to ensure safe systems of work, and the manager for failing to comply with his duties as a site officer.