Ralph De Lacey, the 78-year-old former managing director of Aurora Metals Limited, is contesting multiple charges in the Cairns Magistrates Court related to alleged environmental violations at the Mount Garnet copper and zinc mine in Far North Queensland. The Queensland Department of Environment and Science issued an environmental protection order in 2023, directing Aurora Metals to construct a tailings dam — a structure essential for containing mining waste. Although Aurora had signed a $4.79 million contract with Coleman Contracting to build the dam in 2022, the project was never completed.

Ralph De Lacey, the 78-year-old former managing director of Aurora Metals Limited, is contesting multiple charges in the Cairns Magistrates Court related to alleged environmental violations at the Mount Garnet copper and zinc mine in Far North Queensland. The Queensland Department of Environment and Science issued an environmental protection order in 2023, directing Aurora Metals to construct a tailings dam — a structure essential for containing mining waste. Although Aurora had signed a $4.79 million contract with Coleman Contracting to build the dam in 2022, the project was never completed. Mr. De Lacey has pleaded not guilty to eight counts of contravening an environmental protection order and four counts of failing to comply with environmental authority conditions. Most charges stem from the failure to construct the dam and to provide compliance documentation. One charge involves a breach of financial assurance obligations. Testifying at trial, Mr. De Lacey claimed he made efforts to ensure compliance but lacked control over the company’s finances. He said that financial decisions were managed by Cyan Stone Pty Ltd — Aurora’s major shareholder and principal investor — from its Sydney office.

Contractor Withdrew Over Site Conditions

John Coleman, head of Coleman Contracting, told the court his firm withdrew from the project in May 2023 due to unsuitable clay and rock at the site. He also testified that preliminary work revealed potentially acid-forming rock, which he alleged Aurora failed to disclose. Aurora’s financial stability was also under scrutiny during the same period. Mr. De Lacey said concerns dated back to 2020, though he was repeatedly assured that additional funding would be provided by Cyan Stone’s backers in China. Despite paying debts, the company was often behind, placing financial pressure on operations. Mr. De Lacey said he proposed solutions, including asking the contractor to build a smaller dam, but a $3 million quote for that work was rejected by the company’s financiers. At the time, the mine was in care and maintenance mode. Aurora Metals entered administration in late June 2023, a development Mr. De Lacey said took him by surprise. The court heard that attempts to sell the Mount Garnet and Chillagoe mines had failed, despite receiving substantial offers. “They [the shareholders] had invested heavily and were looking to recover their investment and turn a profit,” he said. Aurora Metals was officially liquidated in March 2023. A seasoned figure in the mining industry, Mr. De Lacey founded Consolidated Tin Mines, which rebranded as Aurora Metals in 2021. He served as president of the North Queensland Miners Association and held approximately 1% of Aurora’s shares. “I had shares that were worthless, and I had put every penny I owned into the company,” he told the court. The Queensland Department of Environment, Science and Innovation is now considering long-term rehabilitation plans for the Mount Garnet site as part of its abandoned mines initiative. Mr. De Lacey is expected to continue his testimony when the trial resumes in July, before Magistrate Jakub Lodziak.

Source: ABC News

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