Adani coal mining project could begin construction in 2017

UPDATE: Hundreds of poeple have gathered outside Parliament House in a snap protest against the State Government’s approval of Adani’s crucial coal mining leases.

‘Traitor’: Premier blasted by protesters

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MORE than 200 people have gathered outside Parliament House in a snap protest against the State Government’s approval of Adani’s crucial coal mining leases.

Protestors rally against mining lease approvals for Adani's Carmichael coal mine #qldpol @tennewsqld pic.twitter.com/7nl3VIMqsr

— Tegan George (@tegangeorge) April 3, 2016

Protestors outside parliament say the approval of Adani coal mine will destroy the Great Barrier Reef @tennewsqld pic.twitter.com/aTKil0Gknv

— Lauren Day (@Lauren_Day_Ten) April 3, 2016

Groups including Greenpeace, Get Up and the Australian Conservation Foundation addressed the crowd with those gathered crying out “traitor” when Premier Annastacia Palaszczuk’s name was mentioned.

Protestors were urged to call Ms Palaszczuk’s government office to voice their concerns.

Greens Senate candidate, and former Senator, Andrew Bartlett said many thousands of Queenslanders were outraged by the decision to approve the leases.

He rejected the jobs figures quoted by the government and Adani.

“The jobs put at risk by this proposal are massively greater,” Mr Bartlett said.

“It is economic stupidity to go ahead with this project

“On top of that it is environmental insanity.”

Mr Bartlett said the government was only in power because of its commitment to protect the reef.

He warned if they went back on their promise “there will be an electoral price to pay”.

OVERNIGHT: CONSTRUCTION could start on Adani’s planned $21.7 billion Queensland mega coal project as early as next year after the Palaszczuk Government removed a major hurdle to the project, approving its mining leases.

The Government says the move will create more than 5000 jobs in the construction phase alone and breathe new life into struggling regional towns hit by the mining downturn.

The approval is also expected to pave the way for other miners in the Galilee Basin to bring projects online, creating further jobs and pouring billions into the state’s economy, with Adani’s coal mine alone tipped to bring in between $200 to $300 million a year in royalties.

But Green groups and some Traditional Owners are reeling at the approvals, which come just days after the worst coral bleaching event to hit the Great Barrier Reef was revealed.

Premier Annastacia Palaszczuk and Mines Minister Anthony Lynham flew to Mackay yesterday to announce the approval of the three Galilee Basin mining leases, the first for the area.

MEGA MINE BY THE NUMBERS

$21.7 billion - Total value of six open-cut mines and five underground mines

90 years - Life of entire project

60 million - Tonnes a year for power generation

4875 jobs - 1075 in construction and 3800 in operation

1520 - employed building and operating rail line

$4.1 billion - Boost to Queensland economy

Ms Palaszczuk said it marked a “new era of the resources sector continuing to show confidence in the Queensland economy. We are talking about thousands and thousands of jobs,” she said.

Dr Lynham said while he understood concerns about the environment, he was confident the mine could coexist with environmental assets like the Great Barrier Reef.

“I have considered the challenges and benefits of this project considerably and carefully,” he said. “We have placed nearly 200 strict environmental conditions on these three mining leases.

“I have now decided that the benefits outweigh those challenges and those benefits are for jobs here in northern and central Queensland, jobs that are very important for the Queensland economy.

Mines minister Anthony Lynham and Premier Annastacia Palaszczuk in Mackay with Adani CEO Jeyakumar Janakara to announce the go ahead of the Carmichael Mine by Indian company Adani. Pic Tim Marsden

“The Queensland Government supports this project. We want to see jobs. We want to see economic development and also at the same time we want to see the environment protected”

The mine has several secondary approvals to be signed off on before it can go ahead, including a financial assurance between the company and the Department of Environment and Heritage Protection.

Adani’s Australian CEO Jeyakumar Janakaraj said he believed those approvals would be gained this year.

“I think all of the secondary approvals will take place within this calendar year and we hope that construction would start any time in 2017,” Mr Janakaraj said.

No decision has been made yet as to when jobs might be advertised or how many would be fly-in, fly-out with the mine not close to any communities.

Map showing the location of proposed Carmichael mine south of Charters Towers in Queensland. Source: Adani

Alpha is expected to benefit with residents there potentially supplying a “drive-in, drive-out” workforce.

Mr Janakaraj said the company was serious about getting the mega mine off the ground.

“We have invested $1.2 billion just in this mine so far which is 100 per cent equity cash and we have bought Abbot Point for $1.8 billion,” he said.

“Without seriousness in developing this project, we wouldn’t be investing that kind of equity cash into this project.”

He said the price of coal was not the main issue in determining the viability of the project, but rather the cost at which the coal could be mined as the company already had a price agreement with the Indian government. “We are an integrated player. We have sold electricity in India on a long-term price.

‘‘It is not about the price point of coal, it is about the cost point, at what cost can we produce coal so that we will always be able to make a profit with the electricity price that we have already sold,” he said.

The mine could create as manay as 5000 jobs. Picture: Matthew Brown/Associated Press

Green groups have slammed the approval, as have some traditional owners.

A protest is being planned outside the Executive Building in Brisbane ahead of today’s Cabinet meeting.

The Wangan and Jagalingou people also condemned the move as they have a judicial review pending.

Australian Conservation Foundation spokeswoman Kelly O’Shanassy described the announcement as “grossly irresponsible”.