Gold fever has gripped the West Coast, as record-high prices fuel new mines, jobs and investment while housing and infrastructure feel the strain.

Development West Coast (DWC) chief executive Heath Milne said new mining projects were injecting millions into the local economy and creating a surge in employment.

‘‘Gold has climbed to around $9000 an ounce — up from just over $5100 a year ago, a 75% jump.

‘‘That sort of lift really changes the economics of projects on the Coast.’’

Two major underground developments are driving the current boom.

Endura’s Snowy River mine near Waiuta aims for full production by mid-2027, while Rua Gold, which recently listed on the NZX, is advancing exploration at Auld Creek.

Both projects anticipate annual production of about 60,000 ounces of gold.

‘‘At today’s prices, that’s potentially over $1billion worth of gold annually across the two projects combined.

‘‘Last year, it would have been closer to $600million.

‘‘That shows how much difference the gold price makes.’’

While not all revenue stays on the Coast, a significant share flows into wages, local contractors, engineering firms, accommodation, fuel and everyday spending in towns.

For Snowy River, DWC holds an equity stake, giving the region a direct share of profits.

Smaller operators are also ramping up.

Sixty-eight new gold permits were granted last year, reflecting momentum across the sector.

The gold boom is creating strong demand for skilled workers.

Underground miners, heavy machinery operators, diesel mechanics, auto electricians, engineers and environmental specialists are among the most sought-after roles.

Stats NZ data shows filled jobs in the region rose by 380 over the past year, a 2.5% increase and the strongest growth in New Zealand.

‘‘Some entry-level operational roles are starting around $90,000 a year, which shows the level of demand,’’ Mr Milne said.

There is a push to fill these roles locally, offering opportunities for West Coast residents who have moved away, though additional workers are expected to relocate to meet demand.

The surge in mining employment is also adding pressure on housing and infrastructure.

Snowy River plans to employ about 150 new staff as it ramps up, while Rua Gold anticipates a workforce of 200 once operational, not including potential roles from other exploration activity.

Greymouth engineering firms are thriving on the back of the gold rush.

‘‘We’ve got some of the best engineers in the world here on the Coast and local firms have been flat out building gold screens and processing equipment to keep up with demand from the gold boom,’’ Mr Milne said.

Dispatch and Garlick manager Michael McMillan said goldmining ‘‘has consistently been bringing in work for a couple of years’’ with ‘‘half of our workload’’ now mining-related.

‘‘We’re a little bit stretched out, probably at the point where we need more staff.’’

The outlook remained positive, Mr McMillan said.

E-Quip Engineering Ltd co-owner Lee Swinburn echoed the sentiment.

‘‘We’ve always had new plants under construction, and this continues. Mining is a strong contributor to our workload.

‘‘It’s good not only for engineering but other local services on the Coast, too.’’

Brightwater Engineering manager Graeme Duffell also reported a ‘‘gradual increase over the past 12 months’’ in maintenance and new construction work.

He confirmed recruitment was under way for plant for the Endura mining project.

Grey District Mayor Tania Gibson said the high gold prices were ‘‘great for our economy here’’ with benefits rippling through the community.

The surge has been driven by global uncertainty, pushing investors towards traditional safe havens. Its effects are tangible on the West Coast.

‘‘Gold prices are definitely driving momentum across the sector and we’re starting to see that filter through the local economy,’’ Mr Milne said.

 – Scout Atkins