Press Release

Waiareka Valley Preservation Society

1 April 2007

Holcim’s proposed use of Ngapara coal places local environment at risk

Rodney Jones, Spokesman of the Waiareka Valley Preservation Society, commented today:

Holcim’s latest information sheet has finally revealed the extraordinary scope of what Holcim is proposing in the Waiareka Valley. This is much more than a cement plant in Weston. With a large open cast coal mine in Ngapara and a large sand pit in Windsor, one of Otago’s most pristine historical valleys will be transformed into an industrial corridor.

What Holcim is proposing in Ngapara is a dramatic change in use, and one that is unacceptable for a rural zone. This mine has only ever operated as a small local mine, and even then, not for over 30 years. Holcim’s coal mine will be a large open-cast coal mine, which will be easily visible from the Ngapara-Georgetown Road.

Holcim said that the Ngapara coal is suitable for a cement plant, citing data from Burnside in the 1970’s. This is misleading. Ngapara coal has a 2-4% sulphur content, which guarantees high levels of sulphur dioxide emissions, even with the best available pollution control technology. Holcim has already conceded that stack emissions of sulphur dioxide will be higher than most modern plants.

Moreover, Ngapara coal is believed to have a high mercury content. Emissions of mercury into the local environment from this plant is likely to 100kg or more per annum, which translates in 5 tonnes of mercury over the life of the plant. This is an unacceptable – and dangerous - amount.

Our Society has repeatedly asked Holcim for details of the analysis on Ngapara coal, most recently only two weeks ago. Holcim continues to refuse to release any details.

While we can ask what they have to hide, we already know the answer. Ngapara coal is an unacceptable energy source for a modern plant. The largest cement plant in New Zealand, New Zealand owned Golden Bay Cement in Whangarei uses high quality low sulphur, low mercury coal imported from Australia. If Holcim was concerned about minimising adverse impacts on our local environment they would do the same.

Ngapara coal has four to eight times the sulphur levels of high quality Australian coal, and is significantly inferior to West Coast coal. If Ngapara coal was appropriate in the first place, the coal mine would never have closed. In electing to use Nagara coal, as opposed to a high quality coal, Holcim is putting their profits before our environment.

Finally, the importance of Ngapara coal to the Holcim proposal highlights the climate change impact of this plant. What we cannot understand is how the Mighty River coal-fired power station is not allowed to go ahead, yet it is somehow acceptable for Holcim to burn large quantities of low-quality Ngapara coal. Mighty River would have emitted 2m tonnes of CO2 per annum against 800,000 tonnes from the Holcim plant. Yet the Holcim plant is for export, while the profits are also destined for offshore. For New Zealand this makes no sense.

ENDS

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