Rio Tinto’s Mt Thorley Warkworth extension endorsed for approval

19th November 2014 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – The New South Wales Department of Planning and Environment has endorsed mining giant Rio Tinto’s extension of its Mt Thorley Warkworth coal mine, subject to a number of stringent conditions.

In June this year, Rio released a new planning application for the extension project, after the New South Wales Court of Appeal refused an appeal against the New South Wales Land and Environment Court’s decision to overturn a 2012 development consent for the extension of the project.

“After significant delays, this recommendation for approval is a much-needed step towards securing a long-term future for Mt Thorley Warkworth mine and its workforce of 1 300 people, but we now need urgent action from the Planning Assessment Commission to determine our application,” said Rio Tinto Coal MD Chris Salisbury.

The miner had previously warned that some 1 300 jobs would be lost at Mt Thorley Warkworth if the mine extension, which would see mining operations continue to 2033, to produce 18-million tonnes a year of run-of-mine coal, was not approved.

The current approvals would only allow the project to remain operational until the end of 2015, with production already being reduced to around 11-million tonnes during 2014.

Salisbury noted that the mine had been a major player in the Hunter Valley community for more than 30 years, and a strong future for the operation would mean benefits to employees and contractors in the region.

“The Department of Planning and Environment has considered all of the issues raised by community members, technical experts and other government agencies during the public exhibition period, and determined that the benefits of allowing this mine to continue operating outweigh the impacts.”

Some 1 900 submissions were received by the state government during the public exhibition period, with around 300 objections.

“We have been working for close to five years to secure a long-term future for this mine and the people who rely on it for their jobs,” Salisbury said this week.

“We’re now running out of time in what is an extremely challenging environment for the coal industry, where mines without a strong future are being shut down.”