KEY POINTS
Economic Significance
- $220 million to South Australia's economy.
- Over 140 direct and 600 indirect jobs.
- $42 million in mineral royalties.
Legal Controversy
- The Minister’s rejection ignored expert advice from the Department of Energy and Mining.
- The government’s own technical assessments confirmed no adverse impacts.
- Raises questions of regulatory consistency for mining investors in Australia.
Community & Environmental Responsibility
- Independent peer-reviewed studies show no harm to existing local businesses.
- Sustainable mining approach with existing Angas processing site infrastructure.
Call to Action for Stakeholders
- Investors, industry bodies, and local businesses have a vested interest in the project’s approval.
- The appeal process will determine South Australia’s stance on sustainable resource development.
Terramin Australia Limited (ASX: TZN) (Terramin or the Company) provides an update on the legal proceedings and operational progress of the Bird in Hand Gold Project (BIHGP) in South Australia.
The BIHGP, located approximately 30km north of Terramin’s Angas Zinc Mine processing facilities, remains a key focus for the Company. With a high-grade resource of 650,000 tonnes at 12.6g/t for 265,000 ounces of gold (See ASX Announcement 30 October 2018), the BIHGP is projected to generate significant economic value for the State of South Australia.
At current gold prices, the Company predicts the project would:
- add $220 million to Gross State Product;
- generate over 140 direct and 600 indirect full-time jobs; and
- contribute revenue for the State of South Australia including approximately $42 million in mineral royalties.
Legal Proceedings
On 14-15 October 2024, the Supreme Court of South Australia heard Terramin’s application for judicial review regarding the South Australian Minister for Energy and Mining’s decision to decline the BIHGP mining lease and miscellaneous purposes license applications. The Governor’s subsequent reservation of the area under the Mining Act 1971 (SA) was also contested. On 20 January 2025, the Court dismissed Terramin’s application.
Terramin has lodged an appeal against this decision, emphasising that the Minister’s actions were contrary to the positive recommendation of his own Department for Energy and Mining (DEM). The department’s comprehensive technical assessment (See full assessment at www.energymining.sa.gov.au) concluded that the BIHGP could be developed with no adverse environmental or socio-economic impacts, a conclusion based on extensive, independent, peer-reviewed studies over several years. Terramin remains steadfast in its commitment to advancing the BIHGP, which represents an opportunity for sustainable development aligned with the highest environmental and community standards.
Status of BIHGP
Despite the legal challenges, Terramin continues to ensure the project is well-prepared for future progress:
- Angas Site Readiness: The Angas site, designated for BIHGP ore processing, remains maintained under a DEM-approved Mine Care and Maintenance Plan, ensuring compliance with all lease conditions.
- Environmental Integrity: Independent and government-endorsed environmental studies have confirmed that mining activities can be undertaken responsibly, without compromising the region’s clean, green reputation.
- Economic Contributions: The BIHGP offers significant economic benefits, including job creation, royalties, and contributions to South Australia’s Gross State Product, which stand to strengthen the region’s economic diversity.
- Stakeholder Engagement: Terramin continues proactive engagement with local communities, reinforcing its commitment to balancing economic, social, and environmental outcomes.
Next Steps
Terramin remains committed to advancing the BIHGP by leveraging its robust feasibility study, environmental framework, and demonstrated technical viability.
The Company will pursue all available legal avenues to secure the project’s future and will provide updates on the appeal process and operational progress in due course.
Link to ASX Announcement: Bird in Hand Gold Project - Terramin Lodges Appeal
Contact details:
Martin Janes
Executive Director
Terramin Australia Limited
+61 8 8536 5950
Mark Flynn
Investor Relations
Terramin Australia Limited
+61 416 068 733
