CHINESE-owned mining giant, Shenhua Watermark, has denied reports it has suspended operations at its 195 square kilometre Gunnedah coal exploration project as the Coalition Government implements new planning laws.
A spokeswoman for Shenhua told The Land that like many other companies with major exploration projects, Shenhua was waiting to see the detail of new laws the state government planned to replace the contentious Part 3A planning laws.
“We have not suspended operations but we are on hold, progressing with baseline environmental studies, while we wait for the government to provide more information about the new project approval process,” the spokeswoman said.
Asked if the company, which lodged a Part 3A application a day before the Labor government went into caretaker mode, was now in “no man’s land”, the spokeswoman replied, “that’s exactly right”.
Planning Minister Brad Hazzard this week introduced new legislation into parliament to replace Part 3A – which previously gave the Minister considerable power to approve major projects and was by critics as a short-circuit around public scrutiny.
Under the new rules, any mine with capital investment of $30 million will be determined “state significant” and will be dealt with by the state and the new government has not extended the exhibition period for proposals from the current 30 days.
The new laws for “state significant projects” are little more than “de facto Part 3A’, according to Caroona Coal Action “Group (CCAG) chairman, Sandy Blomfield.
“They haven’t really reformed Part 3A at all, as no coal mine is under $30 million, I’m very skeptical and disappointed and can’t see much difference between the old system and what is being brought in now,” Mr Blomfield said.
Deputy Premier Andrew Stoner thrust Shenhua Watermark into the spotlight last week when documents surfaced revealing he urged the Department of Planning to fast-track the approval process for the coal mine, which is strongly opposed by Liverpool Plains farmers.
Mr Stoner said the $4.5 million independent Namoi Catchment Water Study, funded by the Federal Government and the mining industry, was a “desktop exercise not relevant to Shenhua”.
The study is expected to be complete in March 2012.
Opponents of mining and coal seam gas on the Liverpool Plains believed they had assurances from the Coalition that no assessments would progress until the study was available.
The Shenhua spokeswoman said the company would not comment on Mr Stoner’s comments.
However, she said Shenhua had actively participated in the study, and had contributed “a substantial amount” of funding to it, and the findings of the study would be incorporated into the company’s Environmental Assessment (EA).
“We have said from the outset we will incorporate the findings of the study into our EA; (Shenhua representative) Joe Clayton has been on the Stakeholder Advisory Committee from the outset, and the release of the study in March 2012 is perfect timing for us for our EA,” she said.
Shenhua paid some $300 million for its exploration licence to the NSW government in mid-2008.
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