Engagement with the communities in which we operate remains important before, during and after project development.
Telfer Gold/Copper Project
Development of the Telfer project proceeded generally on schedule during the year. Open pit preproduction development progressed ahead of schedule and the remaining site infrastructure development continued. By year end various stages of commissioning were under way in the processing area and the power station.
The construction progress of Telfer has again validated the ‘Owners Team’ approach to large-scale project development where Newcrest maintains responsibility for key contractor selection and overall management of the project schedule.
In the case of Telfer over 2004, the key aspects of the development program were:
- Ordering of long lead-time items in 2003
- Early establishment of mining operations in the open pit
- Staged delivery of the open pit and underground stages of the project
- Continual risk assessment and ongoing development of contingency plans for unforeseen circumstances.
During 2004 project development proceeded ahead of schedule with construction ramp up exceeding planned targets.
Development was impacted by rains associated with Cyclone Fay over Easter 2004. Rain in the order of 360 millimetres on the plant site and 500 millimetres on the access road fell in a 48 hour period inundating many of the project areas.
The plant site recovered well, however, the access road flooding receded more slowly than expected. As a result a 6 kilometre causeway was constructed over the affected area to allow normal site access during the peak period of construction.
Construction of the pipeline to provide gas for the power station was also impacted by the rain and subsequent flooding. At year end 275 kilometres of the total 450 kilometres had been laid. Construction is now expected to be completed by November, however, the power station is designed to also operate on diesel fuel if necessary without material cost impact.
North-west Western Australia – 450 kms inland from Port Hedland Project construction underway Annual Project Output: 800,000 ounces gold and 30,000 tonnes copper Ore Reserve: 18.4 million ounces gold, 690 kilotonnes copper Mineral Resource: 26 million ounces gold, 960 kilotonnes copper |
During the year the open pit mine performed strongly with 41 million tonnes of material moved. This mining exposed significant quantities of ore and by year end around 1 million tonnes of broken ore was stockpiled ready for processing.
The underground development continued generally according to plan with the sinking of the haulage shaft completed down to 235 metres by year end. In the present plan the final depth of the shaft is 1,100 metres.
The underground development contract was awarded to mining contractor Eroc in July and development for the sub-level cave will proceed allowing for commissioning of the underground mining operations by mid 2005.
The workforce on site peaked at year end at around 1,500 people and of the 620 full-time employees required to operate the project, around 80 percent were employed.
Key statistics for the Telfer construction are:
- In the concentrator at completion
– 32,000 tonnes of concrete poured
– 5,000 tonnes of structural steel erected
– 60 kilometres of pipe installed
– 420 kilometres of electrical cable installed
– The mill tower is 42 metres high (14 storey building) - The starter tailings dam is 2.5 kilometres in diameter, 8 kilometres in circumference and required 12 million tonnes of material to complete. The tailings dam wall will ultimately be 60 metres high.
- The open pit will eventually be 3 kilometres long, 1.5 kilometres wide and 650 metres in depth.
- Over the current life of mine of 24 years 1.8 billion tonnes
of material will be moved from the Telfer mine.
Engagement with the communities in which we operate remains important before, during and after project development.

Newcrest Mining has sponsored eight Martu people in a basic hospitality training course as part of the Company’s contribution towards enhancing the skills of indigenous people and improving their chances of gaining employment through the Telfer project.
The course, a joint effort between the Martu, Newcrest Mining, the Pilbara College of TAFE and the Department of Employment and Workplace Relations, is designed to help prepare personnel for work in the hospitality industry.
The course emphasises those skills required by companies such as ESS, which supports the mining industry with camp management and catering services.
The trainees learned skills in kitchen work, catering, housekeeping, cleaning and laundry services. They also undertook practical studies in occupational health and safety, personal development, basic computing and senior first aid.
Six Martu women and two men enrolled in the 18 week pilot course. They undertook two weeks work experience at Port Hedland based establishments including ESS’s Wedgefield camp, the Port Hedland Regional Hospital and local prepared-food outlet, Sue’s Place.
At the end of the course, the students prepared and served a luncheon for those involved in the industry to show off their newly acquired skills with a view to attracting new employment opportunities.





