Supreme Court ruling favours proposed Bundaberg coal mine

The Queensland Supreme Court has overturned a state government decision blocking a coal mine proposed for prime agricultural land in Bundaberg, giving the proposal new life.

The Queensland Supreme Court has overturned a Qld government decision blocking a coal mine proposed for prime agricultural land in Bundaberg, in a ruling local politicians and agricultural leaders have described as “disappointing” and a threat to the local economy.

Perth-based mining exploration company Fox Resources launched an appeal in April 2022 after Resources Minister Scott Stewart rejected its coal mine development application for MDL 3040, a mining development lease covering 7818ha northwest of Bundaberg, extending from Branyan to Miara.

The area covered by the lease includes land owned by one of Australia’s largest strawberry farms, SSS Strawberries, and other macadamia orchards and cane farms.

At a 2018 annual general meeting, the Fox Resources board told shareholders the MDL 3040 deposit included 132.8Mt of high quality coking coal, and was well supported by infrastructure including a rail and road network and port facilities.

The area covered by the lease is 7818ha northwest Bundaberg, including land owned by one of Australia’s largest strawberry farms, SSS Strawberries, and other macadamia orchards and cane farms.

Mr Stewart’s rejection of MDL 3040 on the grounds it not in the public interest was overturned by the Supreme Court on Friday, September 29, 2023, with Justice Melanie Hindman saying his decision involved an “error of law” because it was not supported by an “evaluative process” to gauge community sentiment.

Mr Stewart said his department will “carefully consider the decision and reasons from the Queensland Supreme Court and the implications moving forward”.

“Any resources project must stack up environmentally, socially and financially,” he said.

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The Supreme Court’s ruling now puts the ball back in the mining company’s court to submit another application to the Qld government to commence mining of MDL 3040.

On September 29, Fox Resources company secretary Bruce Garlick issued a statement saying he was “pleased” by the Supreme Court’s decision, and announced the company would continue with its exploration operations, including borehole drilling with a view to constructing an underground coking coal mine subject to government approvals

Mr Garlick said the project would bring potential benefits to the region, including funding for the New Bundaberg Hospital from royalties paid to the Qld government, about 200 jobs and $45million in contracts for local suppliers.

Local farmer Judy Plath said she had spoken to many farmers in the Bundaberg region who were concerned about the threat the project posed to “prime agricultural land”.

Local farmer Judy Plath said she had spoken to many farmers in the Bundaberg region who were concerned about the threat the project posed to “prime agricultural land”.

“It is greatly disappointing to learn that … Fox Resources, has completely disregarded the wishes of the Bundaberg community,” Ms Plath said.

“The weak claims of Fox Resources about creating 200 jobs and spending $45million with local companies pale into insignificance in comparison with the 8000 local jobs created by agriculture and the almost $1 billion of agricultural product grown in this region every year.

“An underground coal mine at North Bundaberg is a threat to thousands of local farming jobs, a threat to our precious underground water supplies and a threat to the economic prosperity of Bundaberg.”

ALP Bundaberg MP Tom Smith said the Supreme Court’s decision was “disappointing”, and was out of step with community opposition to the coal mine.

“We have community concerns through ... tourism, agriculture and horticulture industries, and also the general community who are concerned about what environmental impacts of coking coal mine would have on this region, but also the impacts on Bundaberg as a travel destination,” Mr Smith said.

ALP Bundaberg MP Tom Smith said the Supreme Court’s decision was ‘disappointing’ and out of step with community opposition to the coal mine.

Mr Smith also rejected Fox Resources claims of benefits to the region through the project, saying in past conversations the company “didn’t even know where Mon Repos was”.

“Let’s be quite clear, Fox Resources are interested in Fox Resources,” he said.

“They’re not interested in the community because if they were they would hear the community and the community is telling them go home, go away, go now.”

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LNP Burnett MP Stephen Bennett said he had sponsored a petition that collected more than 5,300 signatures from community members opposed to the mining project, and called on Fox Resources to explain how they would address the community concerns against the MDL.

In a statement issued on Saturday, September 30 Mayor Jack Dempsey reaffirmed Bundaberg council’s opposition to the mining development which was adopted by council in an April 2020 meeting.