Overseas investment decision for case 201520085 - Coeur Gold New Zealand II, LLC

The Applicant's acquisition of a 20% interest in the Golden Cross Joint Venture, a joint venture constituted pursuant to a Joint Venture Development Agreement dated 1 June 1990, which will result an overseas investment in sensitive land, being the Applicant's acquisition of:

• an undivided 20% freehold interest, as tenant in common, in approximately 735.7342 hectares of land at 295 & 604 Golden Cross Road, Waikino; and
• a 20% interest in mining licence 32 2954, a mining licence covering an area of approximately 388.8992 hectares of land at 295 & 604 Golden Cross Road, Waikino.

The overseas investment relates to the Applicant’s acquisition of a 20% interest in the Golden Cross Joint Venture. Coeur Mining, Inc currently holds the remaining 80% interest in this joint venture through another subsidiary.

The Applicant will continue to rehabilitate the former mine site on the land which ceased operation in 1998. This includes additional planting and fencing to protect and enhance sites of indigenous vegetation, enhancing public access to the land and enhancing the historic heritage on the land though providing signage explaining the site’s history.

The overseas investment transaction has satisfied the criteria in section 16 of the Overseas Investment Act 2005. The 'substantial and identifiable benefit to New Zealand' criteria were satisfied by particular reference to the following factors:

Overseas Investment Act 2005
17(2)(b) – Indigenous vegetation
17(2)(d) – Historic heritage
17(2)(e) – Walking access
17(2)(f) – Offer to sell riverbed and lakebed to the Crown

Overseas Investment Regulations 2005
28(c) – Affect image, trade or international relations
28(e) – Previous investments
28(g) – Enhance the viability of other investments