New Zealand Copper

Press, Volume CVII, Issue 31399, 19 June 1967, Page 12

New Zealand Copper

The announcement by the Minister of Science, Mr Taiboys, on the Coppermine Island ore assessments, for all its cautious phrasing, holds out real hope that an important national asset has been discovered. Such awkward questions of economics and politics are involved that tile appraisal of the deposits by the Department of Scientific and Industrial Research cannot yet excite more than guarded enthusiasm. The quality of the ore appears to be comparable with that of deposits being mined profitably in other countries. If the island’s mineral wealth is to be proven commercially the Government may first have to decide that it is prepared to permit the exploitation of the copper deposits. No mining company will go to the trouble and expense of detailed exploration unless it can be assured of being able to follow up favourable test results with a plan for production. To make this decision the Government has to weigh the possible economic importance of the incompletely-assessed deposits against the arguments of nature conservationists who are keen to preserve the life on the island sanctuary. Commercial miners might be engaged to explore the island—perhaps on terms entitling them to exploit the resources if ore is found on a scale that clearly overwhelms the nature conservation arguments. Some doubts about the economic advantage to New Zealand of exploiting the deposits might still remain. The Coppermine Island deposit hints strongly at the existence of others nearby. This is bound to stimulate the interest of miners. Ideally, New Zealand should not become the exporter of yet another raw material, especially a metal it would have to re-import after processing. To reap the full advantage of profitable copper deposits the smelting and the processing of the metal into tubes, sheets and wires should be done in New Zealand. Only then would the real saving in overseas funds and the greatest benefits to employment be secured. New Zealand has become acutely aware of the disadvantages of secondary industries that rely on imported raw materials. While larger copper deposits elsewhere remain to be worked by existing industries, and while the price of copper is falling, overseas companies may not be tempted to sink more capital into a New Zealand industry, or be keen immediately to mine the New Zealand deposits. The Government may have to consider how far the exploitation of the deposits should be a New Zealand undertaking, supported—like the newsprint, oil, and steel industries—by the technical and financial contributions of overseas firms.