The iconic Mount Lyell copper mine near Queenstown is slated to reopen in the first quarter of 2029, a move expected to create approximately 300 jobs for Tasmania’s West Coast. Mining company Sibanye-Stillwater confirmed its board’s approval for the restart, more than a decade after the mine was placed on care and maintenance.
The South African miner announced its decision in its half-year results on September 1, with the ABC reporting that the project is anticipated to generate around 300 jobs once the mine reaches a steady operational state. This news follows the mine’s closure in 2014 after three tragic workplace fatalities in two separate incidents.
Sibanye-Stillwater plans to invest approximately US$340 million (A$520 million) into restarting the operation, with project execution set to commence in the first half of 2027. The company also indicated an initial spend of $11 million on the project this year. Once fully operational, the copper-gold mine is projected to produce about 26,000 tonnes of copper, 16,000 ounces of gold, and 116,000 ounces of silver annually, with an estimated mine life of 23 years.
Tasmanian Minister for Business, Industry and Resources, Felix Ellis, hailed the decision as a “generational win” for Queenstown and the West Coast, noting the restart would deliver more than $490 million in investment and up to 300 jobs. Minister Ellis stated that the Tasmanian Government has actively supported the mine’s reopening, providing a $9.5 million package for necessary preliminary works. Furthermore, the government has committed an additional $25 million in funding support, to be delivered through the reimbursement of payroll tax and mining royalties once operations recommence.
The restart strategy for Mount Lyell will leverage existing infrastructure and renewable hydroelectricity to manage costs and risks. The company also noted that the new mine design incorporates lessons learned from the 2014 suspension. The Tasmanian Parliament recently passed the Mt Lyell Acid Drainage Reduction (Repeal) Bill 2025, clearing a significant regulatory hurdle and paving the way for the mine’s potential reopening. Minister Ellis highlighted that reopening the mine offers the best pathway to improve long-term environmental outcomes for the region, allowing for active treatment and management of legacy acid drainage under the strict oversight of the Environment Protection Authority (EPA).
Sibanye-Stillwater acquired the asset through its 2023 takeover of New Century Resources, exercising an option to purchase Copper Mines of Tasmania in November 2023. The reopening marks a significant economic boost for the West Coast, promising new investment and long-term economic confidence for the region.
For more details, readers are encouraged to refer to the original reporting by ABC News (Tasmania).