What's Happening?
OceanaGold has secured final permitting approval from the New Zealand government to develop its Waihi North Project (WNP), which includes the Wharekirauponga Underground mine. This approval allows OceanaGold to access one of the industry's highest-grade
undeveloped gold orebodies, supporting long-term growth at the Waihi operation. The project encompasses the expansion of the current processing plant, water treatment facilities, and the construction of a new tailings storage facility. The company has already selected a mining contractor for underground tunneling and awarded contracts for bulk earthworks and a power upgrade project. Early works, including a services trench for power, water, and communications, are underway, with completion expected by the second quarter of 2026. Gold production from the Wharekirauponga Underground mine is anticipated to begin in 2032.
Why It's Important?
The approval of the Waihi North Project is a significant milestone for OceanaGold, promising substantial economic benefits and job creation for New Zealand. The project is expected to deliver meaningful gold production, extending the life of the Waihi operation, which is situated in a historic gold district. OceanaGold's commitment to compliance with New Zealand's environmental laws ensures that the project will also bring biodiversity benefits to surrounding communities. The expansion of exploration flexibility at Wharekirauponga, with increased drill pads and rigs, will accelerate resource growth and mine planning, further enhancing OceanaGold's portfolio.
What's Next?
OceanaGold plans to mobilize the mining contractor and begin tunneling in the first half of 2026. The completion of early works, including civil works and fabrication at the expanded water treatment plant, is scheduled for the second quarter of 2026, enabling decline development and underground works to commence. The company is in a strong net cash position and intends to internally fund the development of the Waihi North Project while advancing other growth opportunities.
Beyond the Headlines
The Waihi North Project represents a strategic investment in New Zealand's mining sector, highlighting OceanaGold's commitment to sustainable and responsible mining practices. The project's rigorous assessment under New Zealand's environmental framework underscores the importance of balancing economic development with environmental stewardship. As OceanaGold progresses with the project, it may set a precedent for future mining endeavors in the region, emphasizing the integration of economic, environmental, and social considerations.
