NEWMONT WAIHI GOLD LIMITED

Complaints Raised by the Community

July - December 2012

Donna Fisher Company Liaison Officer

Complaints / Concerns Summary Report July - December 2012

TABLE OF CONTENTS

1 INTRODUCTION 1

1.1 Managing Complaints 1

1.1.1 Noise 1

1.1.2 Vibration 2

1.1.3 Odour/Gas/Fumes 2

2 MARTHA SUMMARY RESULTS 3

2.1 Noise 4

2.2 Vibration 4

2.3 Noise from Blasting 5

2.4 Air Emissions 5

2.5 Property 7

2.6 Water Quality 7

2.7 Amenity Effects Programme 7

2.8 Other 7

3 FAVONA & TRIO UNDERGROUND PROJECTS SUMMARY RESULTS 8

3.1 Vibration 9

3.3 Property 10

3.4 Noise from Blasting 10

3.5 Amenity Effects Programme 11

3.6 Other 11

3.7 BRANZ Surveys 11

APPENDIX 1 – MARTHA OPEN PIT COMPLAINTS BREAKDOWN BY 12

DATE AND LOCATION

APPENDIX 2 – FAVONA & TRIO UNDERGROUND COMPLAINTS BREAKDOWN 13

BY DATE AND LOCATION

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COMPLAINTS / CONCERNS SUMMARY REPORT

July - December 2012

1 INTRODUCTION

To meet the requirements of Newmont’s various consents and licenses, this report presents an analysis of concerns and complaints registered by Newmont Waihi Gold (NWG) between July – December 2012.

The report summarises all complaints received during the six-month period, actions taken by the consent holder, and any resolutions. Other matters of concern raised by the community are also reported including any mediation entered into by the consent holder and others with respect to operational matters and mediation outcomes (unless the parties have agreed to keep such confidential).

Section A reports on the complaints and concerns received in respect of the Martha open pit operation. Section B reports on the complaints received in respect of the Favona and Trio underground operations.

1.1 Managing Complaints

All complaints and concerns regarding the mining operation (production mining and exploration activities) are received by the Company Liaison Officer (CLO). A free phone number (0800 NEWMONT or 0800 639 6668) was established to simplify the Waihi community’s access to NWG. The service is available on a 24 hour 7 days per week basis. External Affairs and Environmental Department staff are rostered to cover weekends, public holidays and the CLO’s absence. In addition, the NWG’s main office phone is available between 8:00 am and 5:00pm during the working week.

The 0800 NEWMONT contact phone number is currently printed in the fortnightly Update newsletters published in the Waihi Leader and in promotional material.

All complaints received by NWG are immediately registered and then logged into the Complaints database. Complainant details are recorded, as is the nature of the complaint. All complaints are acted upon. Sound monitoring may be undertaken after receipt of a noise complaint, and blast vibration data is obtained from Blasthub following a blasting-related complaint. The source of the effect is investigated and located wherever possible and appropriate mitigation action taken where practicable. All of the relevant monitoring data and mitigation actions are recorded in the database. Complainants are informed of the monitoring results, the outcome of any investigation and the mitigation action taken.

1.1.1 Noise

Actions to reduce noise levels from the Martha mine have been formulated and are contained in a Noise Mitigation Plan. Experience has shown that the Martha operation complies with the noise limits of its land use consent under climatic conditions at or close to the neutral meteorological conditions that apply under the consent, and that there are very few complaints under these circumstances. Without any changes in activity, mine-related noise increases, and

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complaints are received, downwind of the operations once wind speeds increase to around 3 m/s. The Plan aims at preventing complaints associated with the wind-induced nuisance noise propagation. The trigger for action is when wind increases to over 3 m/s as measured at the meteorological station in Barry Rd.

Under the Plan, wind-induced nuisance noise levels are reduced by modifying the in-pit activities and include shutting down crushing-conveying operations or mobile machinery (trucks and loaders). Under particularly adverse conditions, the mine may be shut down completely.

Being an underground operation, noise is not considered an issue for Favona & Trio however three noise complaints were received during the reporting period.

1.1.2 Vibration

Specific actions taken during the reporting period to improve blasting practices and systems continue to be:

• Blasthub continues to be a useful tool for giving complainants blast results at the time of their call. The vibration monitoring hardware system and web-based reporting system was installed for both the Martha and Favona sites. The system reports real-time vibration data for review and verification, records blast design parameters, provides for recording of complaints and allows effects from proposed blast designs to be assessed prior to firing.

• The Blast Vibration Mitigation Plan ensures existing procedures at the Martha mine can be reviewed using recent vibration history and ‘tightening’ of blast design parameters to reduce vibration levels if required. A similar practice is applied at Favona and Trio (is this correct).

• CLO continues to give advanced warning of blast events to those residents living within close proximity to the Eastern Cutback and the Favona & Trio underground operations activities who wish to be kept informed along with various businesses around town.

• The noise bund extension has been completed and hydroseeding has been undertaken. This will improve noise attenuation and provide better shelter within the pit.

1.1.3 Odour/Gas/Fumes

An odour notification system was developed and implemented during 2004, and included in the Air Quality Management Plan and is still being implemented. The protocol was developed to protect residents living to the west and south west of the pit who are sensitive to blast odours. The protocol involves notifying those residents sensitive to blast odours prior to blasting on the west wall with light to moderate (<5m/s) wind conditions from an easterly-quarter. These conditions were identified as having the potential to generate odours beyond the site boundary. This combination of conditions occurs infrequently and notification was not necessary during the reporting period. This will remain part of the Air Quality Management Plan for any future residents who are sensitive to blast odour.

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SECTION A – MARTHA OPEN PIT OPERATION

2 MARTHA SUMMARY RESULTS

Total complaints received during the July - December 2012 period are tabulated below. A month-by-month breakdown of complaints is shown in Figure 1. A detailed list of complaints is provided in Appendix 1.

It should be noted that of the 146 complaints recorded 62 complaints came from 7 residents making up 42% of the total complaints received.

Complaints by type were:

Type Number of Complaints

Period

Noise 82 July - December

Vibration 35 July - December

Noise from Blasting 15 July - December

Dust 3 July - November

Property 6 August - December

Water Quality 1 September

AEP 3 July - September

Other 2 July - October

Total 146

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Figure 1 Complaint Trends by Month

2.1 Noise

82 noise complaints were received during the reporting period from 17 separate locations.

Hauraki District Council (HDC) advises Newmont of any complaints it receives. Complaints are reported by HDC with only broad details, e.g. cause and general area from where the complaint originates.

Council received ten noise complaints during the reporting period. For details and mitigating actions, please refer to complaints summary in Appendix 1 of this report.

2.2 Vibration

35 vibration complaints were received during the reporting period from 15 separate locations.

For details and mitigating actions, please refer to complaints summary in Appendix 1 of this report.

The vibration performance over the reporting period is summarised in the following tables.

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Rolling 12 month performance

Jul-12 97.8%

Aug-12 97.9%

Sep-12 99.6%

Oct-12 99.5%

Nov-12 99.4%

Dec-12 99.3%

No vibration exceedances were recorded during the reporting period for Martha blasting:

2.3 Noise from Blasting

Fifteen noise from blasting complaints were received during the reporting period from eight separate locations. HDC also advises Newmont of any complaints it receives. One complaint was received by HDC during the reporting period.

A detailed explanation of these complaints can be found in Appendix 1 of this report.

2.4 Air Emissions

Three dust complaints were received during the reporting period from two separate locations. Waikato Regional Council also advises Newmont of any complaints it receives. No complaints were received by WRC during the reporting period. Complainant concerns are tabled at Management meetings which ensure appropriate mitigation measures are implemented.

For details and mitigating actions please refer to complaints summary in Appendix 1 of this report.

No new gauges were installed at residents’ properties during the period. A DP gauge and a TSP gauge were installed at both Katikati and Paeroa to revisit the comparison between Waihi and nearby towns.

Total suspended particulate (TSP) & deposited particulate (DP) monitoring results are shown in Figures 3 & 4 respectively. There were no exceedances of the TSP or DP limits during the reporting period.

Rolling 6 month period Blasts Exceedances

43 0 100%

Compliance

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Figure 3: Total Suspended Particulate

Figure 4: Deposited Particulate

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2.5 Property

Six property complaints were received during the reporting period in regard to the Martha operation.

For details and mitigating actions, please refer to complaints summary in Appendix 1 of this report.

2.6 Water Quality

A complaint was received from a Connell Street resident who explained that he had gone eeling in the Ohinemuri River at the end of Clarke Street near Black Hill and had immediately developed a severe rash. He rang NWG to ask if anything had been discharged into the river from the mining operation that would have caused this to happen.

A detailed explanation of this complaint can be found in Appendix 1 of this report.

2.7 Amenity Effects Programme

Three complaints were received from residents who felt they should qualify for the Amenity Effects Programme.

A detailed explanation of these complaints can be found in Appendix 1 of this report.

2.8 Other

A woman rang from an out of town location to protest about NWG operations in NZ.

A Gladstone Road resident rang to complain about a party at the rear of her property where a sub – contractor to NWG lived.

A detailed explanation of this complaint can be found in Appendix 1 of this report.

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Section B - FAVONA & TRIO UNDERGROUND PROJECTS

3 FAVONA & TRIO UNDERGROUND PROJECTS SUMMARY RESULTS

Complaints received during the July - December 2012 period in respect of both the Favona and TRIO Underground projects are summarised in the following table. A detailed list of the complaints is provided in Appendix 2.

It should be noted that of the 312 complaints received 164 complaints came from 12 residents making up 53% of the total complaints received.

Complaints by type were:

Type Number Period

Vibration 207 July – Dec

Noise 4 Oct - Dec

Property 22 July – Dec

Noise from Blasting 75 July – Dec

Dust 1 Dec

AEP 2 July - Aug

Other 1 Dec

Total 312

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Nb: Issues that received one or fewer complaints during the period have not been graphed

Figure 5: Complaint Trends by Month

3.1 Vibration

207 vibration complaints from 58 separate locations were received during the reporting period. It should be noted that of the 207 vibration complaints recorded 67 came from 3 residents making up 32% of the total vibration complaints received.

A detailed explanation of these complaints can be found in Appendix 2 of this report.

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Rolling 12 month performance

Jul-12 99.7% Aug-12 99.7% Sep-12 99.7% Oct-12 99.7% Nov-12 99.5% Dec-12 99.6%

Two vibration exceedances were recorded during the reporting period for Underground blasting:

Date Location Result (mm/s)

Investigation comments and mitigation actions.

11-Nov-12 Coreshed 2.1 Suspected sympathetic detonation of 2 or more holes. More conservative loading for future holes.

21-Nov-12 Coreshed 6.2 Anomaly (potentially localise rock mass variation or presence of water). MIC reduced for future shots in area.

3.2 Noise

Four noise complaints were received from three separate locations during the reporting period.

For details and mitigating actions, please refer to complaints summary in Appendix 2 of this report.

3.3 Property

Twenty two property complaints were received from eighteen separate locations during the reporting period.

For details and mitigating actions, please refer to complaints summary in Appendix 2 of this report.

3.4 Noise from Blasting

Seventy five complaints were received from thirty separate locations who experienced noise from blasting activities.

It should be noted that of the 75 noise from blasting complaints received 27 complaints came from 2 residents making up 36% of the total complaints received.

For details and mitigating actions, please refer to complaints summary in Appendix 2 of this report.

Rolling 6 month period Blasts Exceedances 1671 2

99.9%

Compliance

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3.5 Dust

One dust complaint was received during the reporting period from a Clarke Street resident who believed her asthma had been aggravated due to dust from underground blasting.

For details and mitigating actions, please refer to complaints summary in Appendix 2 of this report.

3.6 Amenity Effects Programme

Two complaints were received from residents regarding AEP from two separate locations.

For details and mitigating actions, please refer to complaints summary in Appendix 2 of this report.

3.7 Other

One complaint was received from a member of the public concerned about staff behaviour.

For details and mitigating actions, please refer to complaints summary in Appendix 2 of this report.

3.8 BRANZ Surveys

All properties identified by the commissioners during the Trio consent hearing for structural surveys to be carried out prior to the commencement of development blasting, have now been inspected. Production blasting commenced on 27 June 2012.

Forty five properties in the Plate E area were surveyed, three owners declined the survey and one property owner did not respond to the request. Three control properties were also surveyed away from the project area.

As mentioned in previous reports the reason for the delay in receiving these reports is largely due to the workload of BRANZ inspectors due to the Christchurch earthquakes.

Some reports have now started to filter through and once reviewed by Newmont will be provided to each of the property owners.

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APPENDIX 1 – MARTHA OPEN PIT COMPLAINTS BREAKDOWN BY

DATE

LOCATION

COMPLAINTS SUMMARY

Complaints / Concerns Summary Report July - December 2012

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APPENDIX 2 – FAVONA & TRIO UNDERGROUND OPERATION BREAKDOWN BY

DATE

LOCATION

COMPLAINTS SUMMARY