Santana Minerals has won New Zealand government approval to buy 3,680 hectares critical to its Bendigo-Ophir gold mine, paving the way for a NZ$500 million investment and 350 jobs.
- Over 3,600 hectares approved for purchase
- NZ$500 million capital investment over 13–14 years
- 350 full-time jobs projected at steady state
- Consent conditions include resource consent by 2035
- First gold production targeted for early 2028
Government Greenlights Major Land Acquisition
Santana Minerals Ltd’s (NZX:SMI) local subsidiary Matakanui Land Ltd has secured consent from New Zealand’s Overseas Investment Office (OIO) to purchase 3,680 hectares of freehold land vital to the Bendigo-Ophir Gold Project. The land parcels include key mining areas, infrastructure sites, and significant ecological offset zones, marking a crucial milestone after prolonged regulatory scrutiny.
The approved land comprises 797 hectares at Bendigo Station covering open pits and engineered landforms at deposits such as Rise and Shine and Come-in-Time, 92 hectares earmarked for a proposed predator-proof sanctuary, and 2,880 hectares at Ardgour Station housing processing facilities and tailings storage. Notably, 1,263 hectares will be dedicated to ecological offsetting with native planting and habitat enhancement over the 35-year consent period.
Economic Impact and Project Scale
The OIO highlighted the project’s expected NZ$500 million capital investment over a 13 to 14-year lifespan, alongside approximately 350 full-time equivalent jobs sustained through construction and steady-state operations. The mine is anticipated to boost export receipts and stimulate the regional economy through local sourcing and employment.
Santana’s CEO Damian Spring emphasised the broader benefits, noting the project’s alignment with New Zealand’s Minerals Strategy and its potential to deliver lasting environmental legacies via sanctuary initiatives. “With around 40% of shareholders based in New Zealand, the economic and social gains will be widely shared,” he said.
The land consent complements a previously granted 30-year Mining Permit from New Zealand Petroleum and Minerals, providing long-term certainty for development plans targeting first gold production in early 2028.
Conditions and Next Steps for Development
The OIO’s consent comes with conditions including full settlement by 31 December 2026, securing resource consent to construct the mine by 31 March 2035, and committing NZ$250 million to capital improvements within five years of resource consent. Santana expects to meet these milestones, with the final decision on its Fast-track Approvals application scheduled for 29 October 2026.
These steps follow Santana’s recent major equipment agreements and capital raise that underpin the project’s development timeline. The company’s strategy balances regulatory compliance, environmental stewardship, and economic opportunity as it advances toward production.
Bottom Line?
Santana’s land purchase consent unlocks a large-scale gold project with clear economic and environmental ambitions, but key regulatory and capital milestones remain before mining begins.
Questions in the middle?
- Will Santana meet the resource consent deadline in 2035 amid evolving regulatory landscapes?
- How will the company balance ecological offset commitments with operational demands?
- What impact will the project have on local communities and regional economic dynamics?