3 | P a g e Class 1 Location Assessment Willows Road - Surface Magazine, WUG - Waihi North Project . 2. Introduction The current Waihi Gold mining operations have been in production for over 20 years within the township of Waihi, in the eastern Waikato region of New Zealand. The Waihi Operation is owned by Oceana Gold (New Zealand Ltd) (OGNZL). Through the proposed Waihi North Project (WNP), OGNZL seeks to expand the existing operations and extend the life to at least 2036. The WNP includes the ongoing mining of existing resources as well as the development of new resources. The Wharekirauponga Underground (WUG) mine is one of the new resources proposed to be developed. The WUG resource is located approximately 10km north of the township of Waihi. The resource lies beneath Department of Conservation (DOC) land within the WKP Minerals Mining Permit (60541) area. The mining process involves drill and blast operations utilising commercial class 1 explosives. The project has forecast the required quantity of explosives for use in mining operations. These quantities would be delivered to the site by a reputable commercial supplier and stored in certified magazines prior to use in mining operations. The new class 1 storage facility will be subject to the same legislative requirements and operational management plans as the Oceana Gold’s existing facilities that support Martha Underground mining operations. Once licensed and constructed, the new storage facility would be controlled by qualified personnel. The facility will be inspected and re-certified annually, with a ‘Location Compliance Certificate’ issued. These certificates are issued by independent Compliance Certifiers who are authorised by WorkSafe New Zealand. The facility will be operated in compliance with the Health and Safety at Work (Hazardous Substances) Regulations 2017 . Oceana Gold’s Waihi Gold mining operations have a demonstrated track record of safely managing stand-alone and fully compliant class 1 storage facilities. Global Seismic Solutions Ltd (GSS) was engaged by OGNZL to investigate an appropriate location and develop a site design for the class 1 storage facilities at Willows Rd Farm. In addition to complying with legislative requirements, the site design assessment included safety, environmental and operational considerations. While class 5 substances will also be utilised by WUG mining operations, these are stored separately to class 1 substances and are the subject of another separate report. 3. Regulatory Compliance Considerations for Class 1 Storage Facilities The ‘Health and Safety at Work (Hazardous Substances) Regulations 2017’ is the primary reference document for hazardous substances in the workplace. It references classes 1-9 including ‘use, storage, transportation, manufacture and disposal’. The regulation is derived from the overarching ‘ Health and Safety at Work Act 2015’ legislation . The ‘ Health and Safety at Work (Hazardous Substances) Regulations 2017’ outlines the compliance requirements and regulations regarding controlled zones and obligations of a ‘Person Conducting a Business or Undertaking’ or PCBU (refer to Section 9.27’ ). A controlled zone means: ‘An area abutting a hazardous substance location that is regulated so that’, — (a) within the zone, the adverse effects of a hazardous substance are reduced or prevented; and (b) beyond the zone, members of the public are provided with reasonable protection from those adverse effects
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