The success of Barrick’s Cowal Gold Mine, located in New South Wales (NWS), Australia can be attributed to a strong sense of responsibility to the community and the environment. Upon acquiring the undeveloped Cowal project from Homestake in 2001, Barrick recognized the importance of maintaining the support of the community and investing back into the region. To address this need, the Company embarked on an extensive program of community engagement, beginning during the project’s earliest days. During this process, Barrick gained a clear understanding of the interests of the farmers and other residents located in the communities around Lake Cowal, as well as members of the Wiradjuri indigenous community.

Building a Robust Economy

During the earliest stages of mining exploration in the Lake Cowal area, hiring and training opportunities were provided locally, commencing what would become a long-term economic stimulus promoting the development of the region. Prior to this time, the Lake Cowal region had slid into a state of economic decline, characterized by an aging population and limited job opportunities. The need to reinvigorate the local economy may be one reason the Lake Cowal communities were predominantly supportive of the mining project from the outset. In a 2004 survey conducted by an external market research company, only seven per cent of surveyed communities were negative to the presence of the proposed mine. Employment figures at the height of the mine’s construction, between early 2004 and April 2006 peaked at 700, including locally hired and trained geological technicians, exploration drillers, and construction workers. According to a subsequent survey in 2006, the year the Cowal mine poured its first gold, the negative attitude towards the mine had declined to four per cent.

Today, most of the 250 employees at the Cowal mine and approximately 60 contractors reside in West Wyalong and neighboring towns, including Forbes and Condobolin. In 2007, total wages and salaries for this group were estimated at $16 million. Compounding this fiscal injection into the region are statutory payments and royalties to local and state governments amounting to $4 million in 2007. This economic impact has been further strengthened as a result of a “buy local” policy that gives preference to local goods and services when feasible. More recently, this has involved the purchase of a fleet of 40 light vehicles, as well as trailers, employee clothing and bus and cleaning services from local suppliers. In addition, we help to support community-based organizations, especially where the influx of Barrick employees has had an impact, such as the Bland Children’s Services Unit. In this case Barrick, contributed $80,000 towards the construction of an expanded facility in West Wyalong that now provides pre-school, family daycare, a toy library and vacation care services to working families in West Wyalong.

This process of proactive community engagement remains an ongoing priority. A community complaints hotline has been established to promptly identify and address the concerns of local residents. Barrick also extends invitations to community groups to visit the Cowal Mine and produces a community newsletter when required to keep residents fully informed as to Company activities. This Responsible Mining approach has helped to make the Cowal Gold Mine an employer of choice and an important part of the fabric of the community.

Environmental Conservation Paramount

Among the Company’s central responsibilities is meeting rigorous environmental standards for the management, protection and conservation of Lake Cowal, a nationally recognized wetland ecosystem. Lake Cowal forms part of a large wetland system in the Lachlan Catchment in Central New South Wales. The lake is ephemeral, meaning it fills primarily due to river flooding but not during drier years or, as has been the case most recently, drought years. When flooding occurs, the lake is home to significant concentrations of water birds and becomes a fertile breeding ground, as was recognized by the Australian Heritage Commission, which designated Lake Cowal as an environmentally significant site in 1992.


	Barrick is also a major sponsor of the Lake Cowal Foundation, which was established in 2000 to protect and conserve the Lake Cowal area, a Nationally recognized wetland ecosystem.

In the mid 1990s, rigorous examination of the potential environmental impacts of mine construction and operation was undertaken as part of the mine approvals process, which took into account that 2,650 hectares of the 11,000 hectares of mine site land, encroaches onto the western side of Lake Cowal. Following two public Commissions of Inquiry (in 1995 and 1998), government authorities concluded that the project could be developed and operated in a manner compatible with the environmental values of the lake and the surrounding region. Nonetheless, the project met with some opposition from a vocal minority of environmental interests.

“We have been able to demonstrate to date that we can meet all the very strict environmental conditions that are part of our consent conditions to operate,” said Bill Shallvey, Cowal’s Community Relations Manager. “Management here has worked very hard to instill a clear understanding in all employees that our very livelihoods depend on an excellent environmental record. We have had external audits six times since commencement of construction in Jan 2004, and we are absolutely on track, not a single non-compliance issue.”

The Lake Cowal Foundation

Extensive consultations ensued with mine personnel, environmental groups and other non-government organizations during the early years of mine development, leading to the establishment of the Lake Cowal Foundation, a not for profit Environmental Trust, in 2000. The Foundation is primarily sponsored through royalties from the Cowal Mine. The aim of the Lake Cowal Foundation is to protect and conserve the Lake Cowal area.

Barrick’s role in the establishment and ongoing activities of the Foundation underlines its commitment to the environment that exists well beyond the mine fence. Environmental management of the Cowal mining lease remains the sole responsibility of Barrick. However, the Foundation’s mandate is wide-ranging over the whole Lake Cowal catchment area, far beyond the mining lease and the direct influence of the mining operations. Today the Foundation has 25 ongoing projects and a total five year budget of around $5.6 million that includes cash contributions from a number of conservation groups, as well as in-kind contributions from local farming families.

The Lake Cowal Conservation Centre

In 2007, Barrick participated in the opening of the Lake Cowal Conservation Centre (the Centre), located on Barrick’s Hillgrove property. The Centre was created through an agreement between Barrick, the Lake Cowal Foundation, West Wyalong High School and the Lachlan Catchment Management Authority. The Centre will provide the local community with an education, training and resource centre for environmental management. “It is now fully operational and we are already estimating more than 1,000 school students, land holders and community members from across the Lachlan Catchment will visit the Centre each year,” said Bill Shallvey. “The new conservation Centre is ideally situated to set up demonstration sites, test innovative farming practices and implement conservation projects and activities through education and engagement.”

“The Centre has been established to engage and educate the local community in catchment management issues. One of the main benefits of the Centre will be an enhanced level of understanding about how agriculture, conservation and industry can be integrated in a sustainable way,” said Peter Hill, a project manager with the Lake Cowal Foundation.

Respecting and Strengthening the Wiradjuri Community

Barrick recognizes the importance of respecting the unique cultural characteristics of all indigenous peoples and is committed to developing constructive relationships with indigenous communities wherever we operate. This engagement is based on an understanding that indigenous communities may seek direct involvement in mining projects near their traditional settlements and may wish to secure direct benefits from mining operations. Lake Cowal and the Cowal Mine are situated in Wiradjuri Country. The Wiradjuri people are recognized as the pre-European occupiers of the land and had been known to camp occasionally along the banks of the lake.

Barrick worked through the Wiradjuri Council of Elders, and the Registered Native Title Claimants, over a 15 month period to negotiate an equitable Native Title Agreement, which was signed by both parties in 2003. Under the terms of the Agreement, the Company agreed to measures to support the community in the areas of environmental and cultural heritage, employment, training and education and business development.

On May 22, 2003, the following joint announcement was made:

“Barrick Australia Limited and the Wiradjuri Condobolin Native Title Claim Group have reached an agreement that promotes and protects the Wiradjuri cultural heritage while ensuring that a wide range of benefits will flow to the Wiradjuri community during the life of Barrick’s proposed Cowal Gold project.”

That year, as a result of a Native Title Agreement, the Wiradjuri Condobolin Corporation was established. The registered company is supported by Barrick financially as well as with initiatives that pursue opportunities which can lead to business initiatives, further education and employment for the Wiradjuri people. The Company employed the Wiradjuri Condobolin Corporation to manage Wiradjuri heritage protection activities during mine development. At the height of these activities, as many as sixty Wiradjuri heritage field officers working with qualified archaeologists were responsible for identifying and preserving many artifacts found at the site. The Corporation also provides a cultural heritage induction course for new Barrick employees.

Barrick continues engagement with the Wiradjuri Condobolin communities through a number of formal committees and meets regularly to continue to develop opportunities for employment, business and training opportunities for the Wiradjuri. To date, seven university scholarships and four trade apprenticeships have been awarded to young Wiradjuri men and women in mining-related studies or trades. Two of the scholarship holders completed undergraduate studies in 2007 and one apprenticeship was completed in 2007.

“Many Wiradjuri people have been employed in full-time, responsible jobs. They also supervise cultural heritage activities on site. Young Wiradjuri people are provided an opportunity to study at university, while yet others take apprenticeships. These young people are our future leaders. They now have an opportunity that wasn’t there before the Barrick mine.” Excerpt from a 2007 media release from Percy Knight, Chief Executive Officer of the Wiradjuri Condobolin Corporation.

In addition to creating jobs and scholarships, Barrick is supportive of the construction of a Centre for Wiradjuri Studies, which will serve as a key education and cultural centre and a place of learning for the Wiradjuri and wider community.

Barrick is committed to making a positive difference in the communities where we operate and to protecting the environment impacted by our activities. We are doing both at our Cowal Gold Mine.

The Cowal Gold Mine is located in Bland Shire, on the western shore of Lake Cowal, 40 km north-east of West Wyalong and approximately 350 km west of Sydney. In 2001 Barrick acquired the undeveloped Cowal Gold project from Homestake. Construction commenced in 2004 and was completed in 2006, when gold production began at the mine.

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