Borroloola Traditional Owners launch appeal McArthur River Mine security bond appeal
Traditional owners have again challenged a major mining decision by the Territory’s second-in-command.
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Traditional Owners have launched a fresh appeal over one of the “most polluting mines in Australia”, again challenging a $119m discount to a lead and zinc mine’s security bond.
Gudanji Traditional Owner Josephine Davey, Garawa man and senior Elder Jack Green and the Environment Centre NT said they would appeal a Supreme Court decision to dismiss their case against the Territory’s second-in-command Nicole Manison.
In 2020 as mining minister, Ms Manison approved changes to the management plan of the McArthur River Mine, 60km southwest of Borroloola.
Among the changes was the slashing of the security bond by $119m — to $400m.
In February the Traditional Owners and environmentalists tried to contest this decision, telling the Supreme Court they held grave concerns about two potential “catastrophic” environmental risks.
Supreme Court Justice Judith Kelly heard their concerns were about the scale of the waste material — which can spontaneously combust and seep into waterways — and the likelihood the river would reclaim its course and flow into the mine pits.
Justice Kelly heard these risks would emerge if the multinational mining company walked away from the remote mine rehabilitation at any point in the next 1000 years.
It was argued the security bond was too low to manage these risks, potentially leaving Territorians footing the clean-up bill.
The security bond has since been increased to $476m, still below the initial target of $519m.
A Freedom of Information request revealed Ms Manison was advised by the Office of the Chief Minister to defer her decision to cut the bond.
“It may be argued it (would) be premature and inappropriate for government to reduce the amount of security held against the site, and potentially increase the liability to the NT,” the October 2020 memorandum said.
It also said the unplanned closure scenario was “inconsistent” with the Northern Territory Environment Protection Authority’s recommendation.
“It cannot be demonstrated the environmental objectives … have been developed and reviewed in consultation with the relevant independent panels, community reference groups, custodians and Traditional Owners,” it said.
However in April Justice Kelly rejected the Traditional Owner’s case, saying the minister was not “legally unreasonable” in setting the bond.
“The minister did not apply the wrong test, and did not fail to take into account any considerations mandated by the Act,” Justice Kelly said.
“The minister made a bona fide effort to fix the security in an adequate amount in accordance with the method of calculation mandated.”
Justice Kelly said she would not consider if the security bond failed to calculate the true costs of rehabilitation.
“Fixing of the precise amount of the security is to invite a back door merits review under the guise of judicial review,” she said.
Justice Kelly also rejected a bid to overturn Ms Manison’s approval of the amended mine management plan relating to the mine’s waste rock overflow dump and open cut pit.
The Borroloola residents and the ECNT announced the appeal on Monday, saying the Supreme Court decision set a dangerous precedent, hurt sacred cultural connections and could leave Territorians paying for the mine’s full rehabilitation.
Ms Davey said the lead mine was an ongoing concern for the health, happiness and cultural connections for future generations.
“That’s my gangu country (my grandfather’s country) and guginya country (grandfather’s sister’s country) and I’d like them to know that is our home for our children,” Ms Davey said.
Her husband Mr Green said the April decision had saddened many in Borroloola — but had not diminished their determination.
“We’ve been fighting too long since the old people were around and we’re still fighting today,” Mr Green said.
ECNT director Kirsty Howey said the slashed security bond was a “dangerous precedent”.
“Glencore’s McArthur River Mine is one of the most polluting mines in Australia, and has been plagued by a series of escalating incidents including a combusting waste rock dump, poisoned cattle and fish, and acid mine drainage,” Dr Howey said.
“It’s crucial that governments ensure the cost of rehabilitating mines is properly placed on the companies who inflict the damage.”
A McArthur River Mine spokesman said it was not part of the proceedings, as environmental security bonds were calculated by the NT government using its own processes and methodology.
“We will continue to comply with all our legal and regulatory obligations including environmental, cultural heritage, and health and safety requirements,” he said.
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Originally published as Borroloola Traditional Owners launch appeal McArthur River Mine security bond appeal
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